Brothers;
The Federal Reserve cut interest rates by 25, which met expectations. Bitcoin only reached a maximum of 76900, seemingly ready to take off but actually unable to move, needing to consolidate or have a small cycle pullback to review.
1: Bitcoin reached 73000 before Trump won, and when Trump's victory was confirmed, Bitcoin rose to 76000. Immediately, everyone saw Bitcoin break through previous highs with great confidence, and then entered a bull market. However, the market is severely lacking in funds, leading to disappointing upward expectations.
2: The short positions in the futures market were wiped out. The lowest point on the 5th was 66800, and today’s highest was 76900. The shorts were cleanly harvested by a 10000-meter-long big knife, and now everyone has turned bullish. With the market in joy over Bitcoin breaking previous highs, caution is necessary.
3: According to on-chain data, when Bitcoin reached 76900, short positions were liquidated to the tune of about 1 billion. Now, if Bitcoin pulls back to 71000, then 3 billion worth of long positions will be liquidated. Do you think institutions will eat these positions?
4: Just like at the end of October, it stretched early to reach previous highs, then directly dropped by 5000 dollars, harvesting long positions. Then, negative news was created that Harris's votes surpassed Trump's, genuinely deceiving and inducing a wave of shorts to flood in at 69000—70000—72000, resulting in institutions wanting to harvest futures market positions.
5: An increase requires enough funds to purchase, while a decrease only requires selling the positions on hand, or even just data to crash the market. The market still lacks funds, and outside capital has gone to ETFs, requiring a large amount of new money printing.
