Why did these nonsensical projects trigger a big frenzy inside and outside the circle?
And after the frenzy receded, the whole market also ushered in a round of plummeting, and the bull market was just brought crashing down?
The source of the madness: Musk
The following, Uncle Kan first take you to run through the outbreak of animal coin estate began and ended.
If dogs are the best friends of human beings, then the best friend of DOGE (dog coin) must be Musk. It is because of Musk’s crazy “shouting orders”, DOGE’s price has increased more than a hundred times this year, and the market value was once among the Top 5.
The explosion of dogcoin has triggered a market frenzy Fomo, people are eager to find the next dogcoin, eager to seize the new 100 times opportunity.
And it just so happened that Musk tweeted about “shiba” at this time, so SHIB (Shiba Inu coin) instantly became the object of capital chasing.
In just a few days, SHIB has tripled. The three major exchanges couldn’t sit still, Firecoin, OKEx, and Coinan scrambled to get on the coins.
Market enthusiasm was extremely high, and second-tier exchanges such as Matcha and GATE were down for a short time, and even Coinan suspended coin withdrawals for a short period of maintenance due to excessive traffic.
For a while, SHIB shot to fame, several times on the multi-region Twitter hot search, and the domestic also into the top ten of Weibo hot search.
DOGE hundred times the coin, SHIB proper thousand times the coin …… rich story ignited the mood of the funds.
Therefore the market chased up various small animal coins such as PIG (piggy coin), AKITA (Akita dog coin), and various MEME tokens such as LOWB, HTMOON, and MINGB.
So, what exactly triggered the animal mania?
Is it because these coins are simple, crude, cheap and good to start with? Is it because of the FOMO mentality of retail investors? Is it because of the “rebellious spirit” of the new market forces, unwilling to give the old leeks a sedan chair?
Uncle Kan believes that these therefore have. But in the final analysis, the originator behind this is still Musk, who created a frenzy and a short-term speculative boom with his own power.
How to view the animal coin chaos?
What will ultimately be left after a wave of speculative frenzy?
It’s like this market only needs one bitcoin. With a big wave, the bubble visible to the naked eye will eventually dissipate and the market may only be left with one kind of MEME Token.
I am not involved in any of the “zoo boards” or “MEME Tokens”.
Whether it’s DOGE, or SHIB, PIG, LOWB, etc., their chips are highly concentrated, and without any value support, the price of the coin is very easy to surge and plummet.
For example, V God did charity and donated the SHIB obtained from his wallet airdrop to the foundation for the relief of India’s new crown, SHIB plummeted 40% in a very short period of time; and then V God put his 410 trillion SHIB (about 41% of the total supply of SHIB) into the black hole wallet for destruction, SHIB soared 35% again as a result.
In short, these opportunities are not in my circle of competence, so I do not play.
The reasoning is very simple, but many people still can not be “immune” to a variety of stories of riches.
▌ others ten times a hundred times, I anxiety how to do?
In fact, you hear the story of wealth creation how much more, really can make money in this circle into the pocket is always a minority.
Many stories are survivor bias. There are only a few stories circulating in the community that are ten times and a hundred times.
Besides, these cottage coins can skyrocket several times in a day, and can also fall back to the original point the next day.
I like the phrase “only adults choose, only children want both”.
There is never a shortage of opportunities in the cryptocurrency world, and stepping short is the norm.
We can’t earn every penny in the cryptocurrency circle, we just need to grab those certainty opportunities.
The ▌animal coin is rising like crazy, will it bring down the whole market?
The other concern is that the animal coin FOMO boom is not the last carnival of the bull market? The coin price has also plummeted recently, is the bull market really over?
Uncle Jian of course subjectively believes that the bull market is not over.
In my previous article “Don’t say the bull market is over at every turn! I mentioned in the article “Don’t say the bull market is over!
The so-called top is necessarily pointed. The price rises like crazy, and when the newcomers and new entrants don’t have enough money to support the price, then the price comes down with a “bang”.
And this has been the case in every bull market in the past.
Whether it was the 2013 bull market, the 2017 bull market, or even the 2019 wave of calves, the price rose steeply before the top, so much so that it eventually came out in an “inverted V” pattern.
Assuming this year’s bull market at $65,000 is the top, we can see the coin price oscillating back and forth from 40,000 to 60,000, with the price pattern coming out in a stretched mountain shape, which is not at all in line with our judgment of “top”.
This round of animal coin madness and bubble is more like a wave of interludes brought about by Musk’s strong shouting orders, personally I don’t think it will affect the whole bull market process.
Tesla also bought $1.5 billion of bitcoin in February, bringing great attention to bitcoin; and now Musk has turned to embrace dogcoin, even attacking it with ulterior motives for not being environmentally friendly.
In response to this reversal, all I can say is that what Musk gave to Bitcoin, Bitcoin will have to give back sooner or later.
And an early “de-Muskification” is a good thing for Bitcoin.
Historically, the bottom of every bear market is higher than the top of the previous bull market, or even more than twice as high.
The top of the big bull market in 2017 was $20,000, so where will the bottom of this bear market be? I think there is currently limited room for prices to go any lower.
In addition, this bull market is generally considered to be a clear-cut “institutional bull”. Since it started with institutions, it should also end with them. At present, the earnings of large companies are not yet signs of shipping.
While these are relatively positive factors, the bad news is that the current price of bitcoin has hit its 30-week average.
Technically speaking, the 30-week SMA represents the overall market trend and is often seen as the dividing line between bulls and bears.
But it will take time to see whether this time it will just stick the pin to the 30-week SMA or effectively fall below it.
Forecasting and judging the market is always a matter of taking one step at a time in conjunction with the actual situation.
And it is more important to think ahead of time about your response strategy in various situations than to judge whether the bull has gone or not.
If the bull market is still there, continue to pull back how to do; if the trend goes bad, the market goes bear and how to do.
Light prediction, heavy countermeasures.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/musk-and-animal-coins-bring-down-the-market-is-the-bull-market-over/
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