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Market Analysis
1. Market Dynamics
1. Market Review: Last night, the market surged before retreating, experiencing a decline during the session, with Bitcoin falling below 113,000 again, indicating a possible second bottom test. This was mainly influenced by Trump's speech, in which he stated that he would impose additional tariffs on semiconductors, chips, and imported pharmaceuticals, as well as potential tax increases on India and the EU, which has become a short-term uncertainty for the market.
2. Market Expectations: Trump expressed dissatisfaction with the delay in interest rate cuts, stating that he will soon announce a new Federal Reserve chairman. If the pace of interest rate cuts accelerates in the second half of the year, the bull market may follow suit. According to the cyclical rhythm, if the market progresses smoothly, it is best to reach a peak around October; currently, the U.S. stock market is entering a daily high consolidation phase, and if all goes well, this consolidation could last 1-2 weeks before moving towards new highs.
2. Analysis of Bitcoin and Ethereum
1. Bitcoin (BTC): Recently adjusted down from 120,000, influenced not only by the liquidation of 80,000 inherited assets but also by ancient whales selling off at prices above 100,000, leading to continuous selling pressure. The current core issue is whether Wall Street capital will continue to purchase to seize the pricing power of Bitcoin. MicroStrategy purchases BTC on average every 1-2 weeks and has not stopped; its financing and buying strategy has been emulated by many companies, which have begun purchasing other tokens like ETH and BNB.
2. Ethereum (ETH): This round has kept up with the pace and performed impressively, with the driving force for the increase coming from Wall Street. In the past two days, four multi-signature wallets have received over 100,000 ETH from cryptocurrency trading service providers, worth $360 million, which should be attributed to institutional purchases. Recently, Ethereum's price has been greatly influenced by the overall market, but it remains strong, with increased volatility. As capital drives the market, the bullish sentiment is expected to strengthen after the price increase.