The founder of Glassnode said that long-term Bitcoin holders are hoarding Bitcoin again, and investors are still confident in ETH because there is enough ETH flowing out of cryptocurrency exchanges.

Long-term rating: Overweight

 Long-term rating: Overweight

Short Cycle Rating: Bitcoin Holds

Small market capitalization cryptocurrencies are waiting for an opportunity to reduce holdings

Before starting the content of this issue, let's do a brief review of the content of the past few issues, which can better help us understand the current market and trends. A week ago, during the previous decline of Bitcoin, we told investors not to sell during the decline in the 130 issue, "From the daily level, investors who want to reduce their positions to avoid risks must wait patiently for the daily level A rebound, when the rebound will return to the $58,000-$60,000 range."

So far, Bitcoin has rebounded from the lowest point of $47,395 to $59,305, a rebound of more than 25%. In the briefing of the same issue, we also told investors that "after Bitcoin falls and stabilizes, Ethereum may start an independent upward trend." rose by nearly 50%.

In the briefing content of the 135th issue, I shared how to analyze the trend by mining the in-depth information behind the market trading volume. The conclusion of the 135th issue is that there are three upward resistances for Bitcoin, $56,000, $58,949, and $63,000. Looking back now Let’s see, Bitcoin has encountered strong selling pressure after touching the resistance level, and the correction rate has exceeded 5%. It is not easy to create original content, and it is difficult to continue to output. I hope that the content of our briefing can help investors realize asset preservation in the era of fiat currency inflation and added value.

The current problem for investors is that they are afraid of profit retracement. The established digital currencies led by Ethereum have all experienced large increases. Should they continue to hold or lighten their positions to protect profits?

Bitcoin has risen through 4 central trends, and showed obvious signs of divergence when it hit a high of $65,000 in early April. Although we are optimistic about the future of digital currencies in the medium and long term, the historical laws of Bitcoin tell us that Bitcoin The last madness has not yet come, but in the short term, there are potential daily 2 sells and 4h second sells in Bitcoin, so the current cost-effective option is to reduce positions to protect profits and part of the principal, and wait for the end of the shock or the end of the short-term correction to cover the position .

Investors need to continue to pay attention to the situation of filling the gap of $60,000. If the gap of $60,000 in Bitcoin cannot be filled in the near future, this is a sign of the weakness of the multi-army, and a correction of more than 10% will be inevitable. The frenzied revelry of copycats, further short-term bullishness requires Bitcoin to break through two strong resistance levels of $60,000 and $63,000.