With the release of data, the market has ushered in a wave of short-term peaks. I believe everyone has seen various analyses on the market and has some understanding of this non-farm payroll data; lately, I have refrained from elaborating too much on the probabilities of interest rate cuts or hikes. Everyone just needs to remember that a decrease in employment numbers will increase the probability of rate cuts and the cryptocurrency market will rise accordingly; rate hikes will lead to a bear market. It is clear that this data is favorable for interest rate cuts, and the resulting outcome is evident. Remember, there is no substantial capital support; breakthrough trends will not last long, and one must be cautious when going long. Today, I would mainly like to discuss the relationship between blockchain and the cryptocurrency market. This main thread will determine that the cryptocurrency market will once again experience a bull market. In previous articles, I briefly talked about the relationship between the application of blockchain in China and its detachment from the cryptocurrency market; my explanations were not very intuitive, leading to a misconception that there is not much correlation between blockchain and the cryptocurrency market, and that detachment from the cryptocurrency market can also yield good applications.

This sense of detachment exists only domestically, as so-called "everything on the chain" refers to the inherent links of applications with no corresponding currency. The benefit of this approach is the stability of short-term links, and it can attract a large number of relevant enterprises for application, as evidenced by the data released domestically, often in the trillions of assets applied. However, this approach also presents a significant problem, which is the cost of maintaining the links. As you see with the SOL link and many stablecoin links, they usually require upgrades every 2-3 years, while upgrades domestically are relatively difficult. The underlying problem is the lack of capital support; more of it is based on the architecture operated by the issuers themselves. Due to the absence of a reward mechanism, the task of bookkeeping itself naturally falls to the issuers. So, is there room for falsification in such distributed storage and distributed bookkeeping? There is no need to discuss decentralization; everything is essentially centralized, only the technology has been applied, nothing more, and it is completely different from the direction taken by international links.

Foreign mechanisms are more inclined towards reward mechanisms, which also highlights the optimization and upgrading of links, and the operation itself can be conducted by anyone. Under such a mechanism, it is possible to give birth to capable currencies like SOL, ETH, and DOGE. As long as the link exists, the corresponding currency will also become more valuable. The manifestation of value is, of course, an increase in application scenarios, and the combination of the two will result in price breakthroughs. The turning point in the market that you all desire will not be too far away; you need to separate the currently favorable news in the market, which is continuously emerging. Firstly, the cooling of tech stocks and the remaining matches in the World Cup will bring short-term capital flows to the cryptocurrency market. Remember, this will only bring short-term funds; a real turning point will require some patience. Instead, the recent fluctuations have caused me to revert my thinking back to Yellen's last visit to China, which is very similar to the current fluctuations. The Federal Reserve is gradually releasing real news, seemingly with an intention to change the trend.

For those of you reading my articles, you are merely seeking a precise point or time; this year's rebound has been delayed, stemming from the absence of a rate cut in June, while recent data suggests it might arrive between September and December. For the cryptocurrency market, the occurrence of a turning point is likely to be within this window. As for the upper limit, it is currently impossible to predict; my expectations remain high, as the depth of the previous correction and the measures at this stage truly appear to be brewing for a higher position. Spot users buying around sixty thousand will certainly not incur losses. For contract users, I still recommend leaning towards short positions; even if a rate cut can be confirmed as early as September, the reversal in the market may occur in late August or early September, allowing plenty of time for market makers. The gains from shorting should not exceed the losses from spot trading, and the overall strategy must maintain a quick in-and-out 24-hour cycle. Everyone should focus on small coins that have already been listed. There seems to be an indication that they are not going to drop, which is often a signal that the market is about to reverse.

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