Core Logic of the Market



Although Bitcoin, Ethereum, and SOL have broken upward on the daily chart, spot and ETF markets continue to see net outflows. The price increase lacks substantive capital support. This round of rally is purely driven by short squeeze liquidations, with low-level short positions being liquidated in a chain reaction, pushing prices higher. This is an emotional rally that could reverse at any time.

Next, the key factor is CPI data. Only if the data is favorable could there be a trend reversal; if the data falls short of expectations, the market will quickly pull back.

Key Daily Close Conditions

Tomorrow’s daily close must hold: Bitcoin above 61,000 and Ethereum around 1,680 for short-term bullish continuation;
The upper limit of this rally: Bitcoin at 63,100 and Ethereum at 1,760.
SOL2.85%
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