Yesterday the market continued to maintain a small oscillation down. After the significant events in December settled, the market returned to its previous negative atmosphere. Trading volume was extremely depressed, and U.S. stocks also saw four straight losses, testing the previous lows again.
Generally, the market can only get out of a bear market if investors experience extreme despair. This is also necessary for chips to change hands at low levels. For now, the panic brought by the FTX at the end of the year was not as influential as the June decline.
FGI was below 20 for two months in May-July, where the blue box is in the chart. The market panicked for a long time, so the lowest levels for many tokens appeared at this stage.
Currently, the market is still low, and the price of BTC is even lower than June's level, but the market sentiment is better than then. Moreover, the current fundamentals need to be more supportive of starting a significant rally. So there are two possibilities for the subsequent market: one is to continue to toss and repeatedly turn, with a slow transition to horizontal trading. The other is to plunge again, so the market is in extreme panic, smashing out the final bottom.
Both of these scenarios are relatively difficult to survive. How else do you get people to hand over their chips here? But no matter how the market tosses and turns, it doesn't change the fact that prices are currently at relatively low levels. Before the turning point comes next year, holding on to the low-price chips you picked up is the only task.
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