Market Analysis – BTC Approaching Convergence, $60,000 Key Support Level
Binance Spot Analysis
GTRadar – BULL
GTRadar – Balance
Highlights
BTC continues to consolidate within the range from last week, with a downward trend on the weekly chart for seven consecutive weeks. The decline from the high point is about 20% so far. However, the Altcoin market has shown a very polarized state, with a significant drop yesterday. Most Altcoin markets have already fallen more than 40% from their high points in the past two months, which can be described as very severe. As the first phase of Bouncebit, the new product of Binance, the overall yield was lower than market expectations, with less than 1% profit. The overall market is currently very sluggish, and it is really difficult to profit in such a market.
However, the meme coin sector has remained strong, with PEPE even hitting a new all-time high today. Related currencies have also generally resisted the decline in yesterday’s market drop. The AI sector has also performed well recently, but after Open AI announced the latest CpatGPT-4o, there has been a “Sell the News” phenomenon, with a general decline of more than 5%.
Overall, the current cryptocurrency market has lost its independent catalyst, making it sensitive to changes in the macro economy. The US Bureau of Labor Statistics (BLS) announced last night that the Producer Price Index (PPI) for April had a year-on-year growth rate of 2.2%, higher than the 2.10% in March. Although it meets market expectations, it also sets a new high in the past 12 months. From the perspective of PPI, inflation in the United States has not been alleviated, which is unfavorable for the expectation of potential interest rate cuts. Today, the Consumer Price Index (CPI) for April will be announced at 8:30 p.m. Taiwan time. This data will be the most important data related to whether interest rates will be lowered, so it has attracted much attention from the market. It can be expected that tonight will be a night of significant volatility.
According to data from Investing.com, the current market expects the year-on-year growth rate of CPI for April to remain at 3.4%, with a previous value of 3.5%.
It is worth noting that CPI has been higher than market expectations for four consecutive times, indicating that inflationary pressures may take longer to ease. Except for February, Bitcoin has experienced a subsequent decline of about 15% after the three previous CPI releases. Therefore, investors must be cautious about this CPI data.
From a technical perspective, BTC is still consolidating within the range, but it can be observed that the previous resistance level of the range high was around $66,000. However, the recent high points have been suppressed by the EMA 200, and the volatility has gradually converged, indicating a potential storm coming. With the opening of Bitcoin spot ETF, BTC and US stocks have become more and more linked. Just today, the Federal Reserve will announce the CPI data, and every move will greatly affect the trend. $60,000 will become a very important support level in the medium and short term. Currently, it can be said that we are standing on the edge of a cliff. If the CPI data is higher than market expectations, a decline is inevitable, and it may further drop to $57,000.
Copy Trading Links
Copy Trading Links
“GTRadar – BULL” and “GTRadar – Balance” have returns of -3.19% and -0.01% respectively in the past 7 days. In the past 30 days, “GTRadar – BULL” has a return of -2.44% and “GTRadar – Balance” has a return of -3.42%.
“GTRadar – BULL” added a new entry strategy last week on 5/11, focusing on capturing short-term rebounds with lower stop loss and take profit levels. It involves multiple currencies but with lower order amounts for each currency, and the strategy does not exceed 20% of the total holdings even in full allocation.
In the past week, the market has mainly been declining, and both strategies have low trading and holding ratios.
Currently, “GTRadar – BULL” has a net long position of about 30% (full allocation with 3x leverage is 300%).
Currently, “GTRadar – Balance” holds more currencies with a larger divergence between long and short positions, but the positions are not significant, with a net short position of about 5% (full allocation with 3x leverage is 300%).
Copy traders who frequently change their investment portfolios tend to have lower long-term returns compared to those who consistently follow a single strategy. Do not end copy trading easily just because of short-term drawdowns. From the curve chart perspective, drawdowns are actually good times to start copy trading, and frequent entry and exit will significantly reduce the return rate.
Steve Eisman, the protagonist of “The Big Short,” called cryptocurrencies one of the major themes of the current era.
Donald Trump, the US presidential candidate, claimed to understand cryptocurrencies and intends to accept cryptocurrency donations.
European regulatory authorities are considering including cryptocurrencies in the €12 trillion UCITS investment market.
The Executive Yuan has passed the “New Four Laws to Combat Fraud,” and unregistered foreign exchange dealers may face imprisonment of up to 2 years.
Pantera Capital founder said that the investment in TON is the largest investment in Pantera’s history.
SEC issues Wells Notice to Robinhood; CEO: It is unacceptable that Americans cannot access these assets.
Bitcoin mining difficulty drops nearly 6%, the largest decline since the bear market.
Major financial giants such as JPMorgan and Wells Fargo disclose holdings of Bitcoin ETF, but don’t get too excited.
10x Research: Stablecoin inflows have almost zero growth since the Bitcoin halving.
“The GameStop Short Squeeze Event” promoter returns, and the meme coin with the same name soars over 6,000%.
Kaiko: Recent decline in Bitcoin fee revenue may cause selling pressure from miners.
A large amount of Ethereum call options concentrates in June, with strike prices above $3,600.
US retirement funds enter the market; the Wisconsin Investment Board holds $163 million worth of Bitcoin ETF.
The above content does not constitute any financial investment advice. All data is from GT Radar’s official announcement. Each user may have slight differences in profits due to different entry and exit prices, and past performance does not represent future performance!
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