The greater the amount of Defi locked up, the less chips are available for market trading, which is the basis for the continued bull market.
First,The status of major crypto markets
- The data on the Bitcoin chain continues to be optimistic ~ For example, the addresses of long-term BTC holders (more than 1 year) have recently hit a record high, indicating that “more and more investors are no longer selling BTC, but choosing to hold the currency for growth. “
- On the contrary, the number of addresses holding BTC for less than one month has decreased by nearly 60%, which means that the activity of speculators has dropped by 60% in the past month. If it can be reduced by 80% compared with the peak value, it is basically possible to “confirm the bottom”.
- Since October 2020, the amount of smart contract assets flowing into Ethereum has increased from US$10 billion to US$100 billion, which basically means the development of Defi. The larger the amount of Defi locked in the future, the smaller the supply of the crypto market will be. For a currency with a constant total amount, there will be fewer and fewer chips available for market trading. These are the basis for a continued bull market.
- Currently ETH2.0 is the most anticipated and reported event for cryptocurrency. After the Berlin upgrade went live in April, this August London upgrade is undergoing rigorous testing and is expected to be launched in 2022.
The process from ETH 1.0 to ETH 2.0 is not easy. There may be difficulties in 2021 this year, and it will eventually be realized in 2022.
The vision of ETH2.0 is to become the most secure, scalable and sustainable decentralized financial sector to allow more and more adoption of new incarnations, and more Dapps will be launched on this evolved Ethereum platform, because they are concerned about ” The two main concerns of “high network congestion and high network costs” eventually received subsidies to a large extent.
Second,International Financial News
1. Fed Chairman Powell said that the latest inflation rate of 5.40% is higher than expected. If it remains at a high level, the Fed’s policy needs to be changed. But then Powell said that monetary policy should still be highly accommodative and interest rate hikes The condition is that the employment data is within the normal range, and the overall inflation rate will continue to be predicted. The Fed need not rush to take action. Finally, it added that high inflation is temporary unless it continues year after year.
This means that high inflation is okay, and the Fed will continue to relax. In fact, for the Fed, it is now a dilemma. Once interest rates are raised or tightened, the United States will face increased costs for repaying huge debts. Continued easing will lead to a continuous increase in inflation and a decline in the quality of life of the people.
So every time the Fed makes a statement, it is basically a simulation of ambiguity. The most frequently said statement is: It is difficult to predict when the tightening will be specific. Powell intends to discuss debt reduction at the July meeting, pushing it to the next month every month, and the market is constantly waiting for it to fluctuate.
2. ARK Fund bought 156,000 shares of Coinbase yesterday. Yesterday, they bought a lot, which is basically 4-5 times the usual investment. It seems that Ms. Mu believes that the price of Bitcoin has basically bottomed out.
BTC analysis:
The market BTC dropped to the lower rail of the Bollinger Band yesterday and stopped falling and rebounded. The daily Bollinger Band has flattened, with the upper and lower rails being 31500 and 35500 respectively. If there is no major negative, the teacher believes that the big pie will oscillate between the upper and lower rails of the Bollinger Band.
For short-term players, please sell high and buy low in this range. The short-term view is still “oscillating.” If the medium-to-long-term view holds 30,000 US dollars, it will rise to more than 40,000 US dollars.
Support 31500 pressure 33500, 35500
ETH analysis:
The rebound was under the selling pressure of the 7-day moving average. The teacher believes that the market should also fluctuate in the short term. For the entire July callback, it is an opportunity to deploy ETH.
Support 1900 pressure 2100
