This 74-year-old lady was the culprit of yesterday’s smash

The @news-leo ignored an extremely important news in the international market yesterday, that is, the election of the US Treasury Secretary. Since there is an iron-fisted woman among the nominated candidates, it has to be taken seriously. This person is the former Fed Chairman Yellen. In the early hours of the morning, the U.S. Senate formally approved Yellen's vote to nominate the Secretary of the Treasury, and Yellen became the first female Secretary of the Treasury in the United States. When this news is expected to begin, both US stock gold and Bitcoin have fallen sharply, and the US dollar index has clearly gone out of the upward trend. This is because when Yellen was chairman of the Federal Reserve in 2014, he did two of the most famous things:

1. The most violent dollar surge;

2. U.S. stocks continued to raise interest rates without falling.

Therefore, the market's expectation is that the next stage of the task of the United States is to tighten the currency and widen its fiscal budget. It may use the US dollar index to burst the economy of the third world countries. These predictable policies are obviously not conducive to the future rise of Bitcoin. First, Bitcoin is an anti-inflation tool, and the rise enjoys the Fed’s unlimited monetary easing policy. Second, Bitcoin, like other risky assets, requires sufficient liquidity in the market. , If interest rates continue to increase, it will obviously not be conducive to the rise of risk assets. This is also the most important factor for the sharp correction in the A-share market today. (Continued interest rate hikes are not conducive to the inflow of northbound funds, and may cause funds to return to the United States)

The above is the logic that Bitcoin has continued to fall since yesterday’s skyrocketing. There is no negative on the surface, but undercurrents are actually surging. The @news-leo thinks that this wave of negatives is almost digested. Later, Bitcoin will return to its own rhythm, but Following Yellen’s Ministry of Finance policy, we must continue to pay attention. Earlier news, Yellen believed that cryptocurrency is mainly used for illegal financing, and we must carefully study how to better regulate cryptocurrency, indicating that this old lady is not friendly to the currency circle, and we must be careful of this person in the future.

No matter how the regulation changes, the general trend of Bitcoin has not changed. The endowment funds of Harvard, Yale and Brown University have also begun to buy Bitcoin. The endowment funds of these famous universities are very powerful in the market, and they have gathered many people around the world. The wisdom of celebrities is a very positive signal for the future.

Marathon Patent Group, a North American mining company, purchased $150 million worth of bitcoins, about 4,813 bitcoins. The source of funds was cash reserves. This big buyer and MicroStrategy are basically of the same type. Both use their own funds to buy a large amount of Bitcoin, and both participate at a relatively high level, indicating that big funds continue to be optimistic about the future. This news is probably one of the reasons for the violent backlash last night.

The inflow of cryptocurrency investment products exceeded US$1.31 billion last week, setting a new historical record. Of this, 97% went to Bitcoin, and almost all the rest went to Ethereum, indicating that institutional funds in the market as a whole are still bought Bitcoin is dominated, so the market outlook is the first to start the rise, and the probability is still a big pie.

There are a lot of varieties bought, and the number is very small. The CEO’s good news has not been seen, and the OTC premium rate has hit a new low in the near future. This will cause arbitrage institutions to postpone buying. The short-term overall is not too optimistic. However, there is a good phenomenon that Rothschild Investment Corporation has increased GBTC. The more institutions buying GBTC, the faster the premium rate will increase in the future, which is conducive to the rapid participation of arbitrage institutions. The future is not pessimistic, but slightly weak in the short term.

There are more than 100 million cases of new coronary pneumonia worldwide. The epidemic situation has not improved significantly, and it has also risen in China. We must take good care of it. Many people will celebrate the Spring Festival in place. For the health of China, sacrifice the individual. After the epidemic has improved, we will return home to meet again. The fact that the epidemic has not improved is also one of the foundations for Bitcoin's upward trend. Once it starts to improve in the future, it means a sharp drop in liquidity, which is a negative for the risky market. In history, the epidemic generally lasted for two years. According to the cycle, it is estimated that it will take more than half a year to begin to fade.

Market analysis

Bitcoin:

Today’s trend is obviously weaker than expected. How did the daily line go up yesterday, how did it wrap it back today, and the short-term bottom trend has also been disrupted. In short, today’s daily line destroys all previous assumptions, which means that the market may go further. It is difficult for a @news-leo to judge the specific position of the callback. They can only take a step to look at it. However, it is foreseeable that institutional funds are still entering frantically and the bull market has not ended. If there is a sharp callback later, continue to participate in the car. Yes. The upper pressure is 32800, and the lower supports 31100, 29400.

ETH:

Due to the drag of Bitcoin and the divergence from the daily level, there has also been a callback. Ethereum continues to oscillate in the high triangle area, just hold it and wait.

DOT:

The high level pulls back, the upper pressure level is formed, and the short-term is mainly to continue to fall.

LINK:

It has stepped back on the previous support level, and the decline is insufficient, and there is a short-term rebound.

LTC:

The overall trend is still relatively weak, and the trend of continuous downward movement of highs has not yet ended, and the callback is mainly.

ADA:

Continue to support at 0.33 strong support, the amount of callback is not large, and it will be slightly stronger than other mainstreams.

UNI:

In the short term, it will continue to be strong and not follow the Bitcoin linkage. This currency can temporarily participate in a 5-day line strategy.

I’m not going to talk about the others, and I’m not too strong, so please wait for the market to stabilize.

That's it for today, see you tomorrow~!