Old Cui says about coins: With the increase in tariffs, can Bitcoin return to the era of seventy thousand?

CN
2 days ago

The world is bustling, all for profit; the world is bustling, all for profit to go! Hello everyone, I am your friend Lao Cui talking about coins, focusing on digital currency market analysis, striving to convey the most valuable market information to the vast number of coin friends. Welcome everyone's attention and likes, and reject any market smoke bombs!

Having talked too much about foreign economies, many users have developed dissatisfaction with the domestic situation, which is indeed a mistake on my part. Everyone should not view the development of events with a biased mindset. Undeniably, the recent development abroad has indeed surpassed that of our country. This has also led to the pricing power in the financial sector being primarily dominated by foreign entities. At this stage, we are still operating within the rules they have set, so there are many constraints on the economic front, making it difficult to unleash financial commerce like Wall Street. Therefore, my articles are mostly based on American data standards for analysis, not to look down on the domestic economy. From a financial perspective, the domestic economy has enormous potential; even if the A-shares were to multiply five times, it would still be considered normal. The different systems lead to the domestic economic reflection not belonging to the stock category; our focus is more on purchasing power, ensuring personal survival is more important. For example, we are in a moderately prosperous stage, while others are already financial giants, making comparison impossible. However, the development in the crypto space has its own merits, especially in the blockchain sector. We do not treat it from a suppression perspective; Binance, OKEx, Huobi, etc., all started domestically, including the registration location of USDT in Hong Kong. The strength of our domestic crypto space has always been quite strong, but later strategic adjustments have cleared out some parts.

Especially recently, under the influence of tariffs, the performance of the US stock market has been disastrous, dragging the entire crypto space to new lows for small coins. After experiencing this fluctuation, no one is mentioning the correlation between Bitcoin and the US stock market anymore. The performance of tech stocks is also visibly poor, which is advice I provided before the tariffs. The arrival of tariffs mainly restricts the high-tech products of the US itself, and the consequence of increased tariffs is certainly countermeasures. Whether from the perspective of raw materials or the sale of finished products, the impact driven by high prices leads to low consumption. Once this situation occurs, it usually affects the performance of the stock market, and the idea of harmony bringing wealth is currently unachievable; what remains is to see who has a better mindset. Risks and opportunities usually coexist. According to the current data, there should be news of interest rate cuts in May (this does not mean there will be a cut in May). Previously, it was estimated that there would be two rate cuts in the second half of the year; the number of cuts is currently difficult to estimate, but the timeline for rate cuts will definitely be shortened, possibly around June, when there will be a clear rate cut. This sudden collapse of the US stock market also reflects the resilience of Bitcoin; there are still many big players optimistic about the crypto space. There are those waiting for strategic reserves to land across continents, those waiting for the arrival of the interest rate cut timeline, and those waiting for the next coin to be listed. All signs still indicate a more cautious bullish outlook.

Recently, the performance of Ethereum has disappointed many friends, but today I want to give everyone a bit of confidence. More and more friends holding spot positions have developed many negative emotions. Today, I will provide a detailed interpretation of Ethereum-related matters. Between 2016 and 2020, the concepts that were more hyped in the crypto space were related to the metaverse, during which many concepts emerged, forming the foundation of the metaverse. One significant piece of good news was META's investment, which is considered the largest investment in the metaverse, and to this day, Zuckerberg is still researching the concept of the metaverse. The foundation of the metaverse consists of cryptocurrencies and NFTs. The hype around NFTs has basically dissipated, and not many people are paying attention to what NFTs are. They are essentially a certificate that can prove ownership of assets in the metaverse. Many friends find this hard to understand because, in reality, people's properties, cars, and even companies are issued property certificates by the state to confirm ownership. However, assets in the metaverse do not have state backing, so something is needed to prove personal ownership. The virtual world may seem a bit ethereal at this stage, but I still want to tell everyone that there are already people who have successfully profited from this ethereal concept and realized their self-worth.

Whether in the real or virtual world, ownership is what gives value. Taking countries as an example, only when a country has territory can real estate emerge. Only when individuals have property certificates can they rent out. This is the significance of NFTs; the value is not assigned by me. The largest NFT transaction to date is the CryptoPunk avatar from the metaverse, reaching 124,457 ETH, which, at current prices, is nearly 1 billion USDT. The emergence of NFTs can perfectly avoid counterfeit goods in the virtual world, possessing strong anti-counterfeiting capabilities, which means that deception will not exist in virtual time as it does in reality. This has also led to many auction items that do not require appraisers or trading platforms; anyone with an NFT can trade privately, significantly reducing transaction costs. This has already been applied in reality; as long as NFTs are born, all transaction ledgers can clearly record transaction data, eliminating the possibility of forgery. More and more artworks are beginning to use NFT technology, including well-known brands like LV and COACH, which already have their own companies in the metaverse. The entire concept of NFTs uses Ethereum as the trading currency. I believe by now you have a better understanding of Ethereum's value. Many people, including myself, feel that Vitalik has started to give up on Ethereum after its listing, and the perception of Ethereum is not good. However, it must be mentioned that a thin camel is still bigger than a horse; Ethereum's position in the crypto space remains second.

Lao Cui's summary: I have talked a lot, and it may be a bit confusing. Whether it is tariffs or the concepts of the metaverse and NFTs, each of these topics could be explained in multiple articles to clarify for everyone. But the most challenging part is that there is not much time, and the logic behind tariffs cannot be directly communicated with everyone. What I can say is that the expansion of tariffs, whether in the crypto space or the entire financial market, is not good news. What Trump aims to do may be more challenging than we imagine. Before the short-term interest rate cuts, it is already difficult for Bitcoin to maintain its current price; new lows will still appear, and there is no need to worry too much. The same goes for Ethereum; although the downward trend of Ethereum has been very obvious since its new high, the only coins that can clearly grow after the interest rate cuts are few, including Bitcoin and Ethereum. Therefore, at this stage, the layout of your contracts should still follow what I mentioned earlier, focusing on short positions. If you want to go long, you must have a plan to hold for half a year; users without this financial planning should quickly abandon the long concept. April is destined to be extraordinary, so I will pay more attention to the users in my hands, and the frequency of article updates will definitely slow down. I appreciate your understanding. Those with substantial questions can communicate with me in a timely manner, especially contract users; many comments I reply to may already be in a liquidation situation. Users with such needs can directly message me.

Original creation by WeChat public account: Lao Cui Talks About Coins. For assistance, please contact directly.

Lao Cui's message: Investing is like playing chess; a master can see five, seven, or even ten moves ahead, while a novice can only see two or three moves. The master considers the overall situation and strategizes, not focusing on one piece or one territory, aiming for the final victory. The novice, however, fights for every inch of land, frequently switching between long and short positions, only competing for short-term gains, resulting in frequent troubles.

This material is for learning reference only and does not constitute trading advice. Trading based on this is at your own risk!

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