Why Did the Crypto Market Only Shiver" for a Moment After the Fed Cut Rates?Coin King: Hello everyone in the crypto community! I'm Coin King from Coin Victory Team, and I'm happy to see you all here watching my articles and videos. Recently, many friends have asked me why the crypto market only had a minor fluctuation after the Fed cut rates, while the stock market is flourishing
Why Did the Crypto Market Only Shiver" for a Moment After the Fed Cut Rates?
Coin King: Hello everyone in the crypto community! I'm Coin King from Coin Victory Team, and I'm happy to see you all here watching my articles and videos. Recently, many friends have asked me why the crypto market only had a minor fluctuation after the Fed cut rates, while the stock market is flourishing.
Actually, the reason behind this is simple. Do you remember the big fireworks we set off in the Pacific Ocean in September? That's the key! It shows that we have the ability to protect investors' funds, and coupled with the Fed's rate cut, it allows foreign trade companies that originally kept their money in overseas banks to earn interest to dare to bring their funds back to China.
However, the actual inflow of funds brought about by the rate cut and reserve requirement cut is not large. Ultimately, confidence is worth its weight in gold, and the confidence in the crypto market has not yet recovered. Only when capital makes a fortune in the stock market and reaches its peak, starting to trade sideways, will it be the opportunity for the crypto market.
As of now, Bitcoin price is $64,000, with a short-term decline, which is normal market behavior. The market has digested the favorable expectations brought about by the Fed's rate cut. The market is moving upward but has not broken through the key resistance level, coupled with insufficient market liquidity, thus resulting in the current decline.
Technically, the daily chart shows an engulfing pattern, a classic trend reversal pattern. If the market closes lower today, the market will enter a phase of decline. Therefore, the main strategy today is to short.
The hourly chart shows that the market touched the $62,800 line in the morning, which is the previous low point of multiple rounds of trading. We can carry out short-term operations around this level, with a stop loss of 200 points and a target profit of 1,000 points. Unexpected stop loss should be waited until the price falls to between $62,000 and $61,800.
Above, pay attention to the $64,800-$65,000 line, and you can choose to short when it reaches this level, with a stop loss of 300 points. Aggressive investors can consider shorting at the current $64,100 with a small position, to avoid missing entry opportunities, with a stop loss of 200 points and a target of $63,100. The recent market volatility is large, and the article may be delayed. For more in-day suggestions, please refer to real-time communication.
Today's Ethereum (ETH) price is $2650. Looking back at the Ethereum position given in yesterday's article, I suggested buying at $2580-$2600. This entry point was perfectly reached early this morning, and currently, there is a profit of 70 points, which has reached the expected target.
From technical indicators, compared to Bitcoin, Ethereum's trend is weaker, and the daily chart has closed lower for three consecutive days. Although there is a rebound today, in my opinion, it is difficult to reverse the trend, and short positions remain the main strategy.
In the short cycle, the market has not changed fundamentally compared to last week, $2680-$2700 is still a strong resistance level. You can short when it reaches this level, and aggressive investors can consider entering at $2650 directly, and buy more at the high point. Set the stop loss at $2710.
Below, if $2580 is reached, continue to buy, with a stop loss of 15 points, and if there is an unexpected stop loss, continue to buy at $2520, with a stop loss of 30 points. Ethereum's volatility is relatively small, and stable coin friends can buy more long positions.
This article is independently written by Coin Victory Team. Coin friends with current spot strategies and unbundling needs can search for "Coin Victory Team" on the entire network. Due to the recent market volatility, accompanied by intermittent spike, therefore, everyone must control their profit-taking and stop loss when operating.
We will face major market data market in the future, and Coin Victory Team will organize a live broadcast on the entire network. Friends who need to watch can search for "Coin Victory Team" on the entire network, contact me, and I will send the live broadcast link at that time.
Our services mainly target spot and contracts, covering BTC/ETH/ETC/LTC/EOS/BSV/ATOM/XRP/BCH/LINK/TRX/DOT and other coins. We are good at mobile lock-up tactics, short-term wave operation around high and low support and pressure, as well as high and low long-term trend orders, daily limit retracement, weekly K top prediction, and monthly top prediction.
Hope the above content can help you all, wish you all smooth trading!
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