The macro news landscape is ever-changing, and smart money has quietly positioned itself.
Brothers, the news of the recent China-U.S. meeting is truly exciting! The Trump administration has reached an agreement with China on key issues such as rare earths and tariffs, significantly reducing tariffs for both sides, and has finalized arrangements for high-level visits.
This reminds me of the intense trade friction last year, when I, not understanding macro news, panic-sold BTC at the bottom, suffering a painful loss of 20%. This significant progress is precisely the golden opportunity for us to position ourselves in the cryptocurrency market!
Why is the easing of China-U.S. economic and trade relations a major boon for the cryptocurrency market?
The logic is simple: the easing of US-China trade tensions greatly boosts global economic growth confidence, reducing market risk aversion. Funds will flow from traditional safe-haven assets to high-risk, high-return assets like Bitcoin.
More importantly, the Trump administration has always held a friendly attitude towards cryptocurrencies. Not only did it pardon Binance founder Zhao Changpeng, but it also appointed a crypto-friendly CFTC chairman, clearly indicating a push for the US to become a global cryptocurrency center. This easing of trade will bring more funding and liquidity support to the crypto space.
Data shows that right after progress was made in US-China economic and trade consultations, Bitcoin quickly broke through $115,000, and Ethereum also surpassed $4,200. This is not a coincidence!
Practical strategy: Three tips to help you secure profits.
As a veteran player who has experienced multiple market cycles, I have summarized the following three tips to help you profit steadily in this macroeconomic uptrend:
1. Prioritize laying out core assets; don't be blinded by altcoins.
When market enthusiasm is high, various altcoins flood the market, but the truly profitable ones are still the mainstream coins. BTC and ETH are solid choices. Whale accounts are also continuously increasing their Bitcoin and Ethereum long positions, with one whale holding long positions valued at $338 million having gained over $17 million.
I remember during last year's trade tensions, I blindly chased various small coins and ended up suffering significant losses during corrections. Now I have learned my lesson, and I allocate at least 70% of my position to mainstream coins, which is the core of seizing this wave of profits.
2. Build positions in batches, never go all in.
My current strategy is to enter the market in batches, dividing funds into 3-4 parts, with each part not exceeding 20% of the total funds. Why? Because implementing trade agreements takes time, and market sentiment can fluctuate.
According to Coinglass data, recent liquidation amounts are dominated by short positions, indicating that market sentiment is still shifting. In this environment, building positions in batches can seize opportunities while avoiding being washed out by short-term fluctuations.
3. Keep a close eye on two key signals.
I must check two indicators daily: first, the specific implementation timeline for tariff reductions, and second, the movement of the US dollar index. When the dollar weakens, the crypto space often performs better.
Expectations for Fed interest rate cuts are also rising. According to CME's 'FedWatch', the probability of a rate cut in October is as high as 96.7%. Improved liquidity expectations further boost the crypto space.
Personal insights: How to avoid becoming 'chives'.
Last year, when trade tensions escalated, I watched my account balance shrink and sold at the floor price out of panic. In retrospect, the root cause was not understanding the importance of macroeconomic news.
Now, I have learned to calmly analyze capital flows after significant international events occur, and then formulate layout strategies. For example, when the US-China easing news came out, I did not blindly chase high prices, but patiently waited for a short-term correction before building positions in batches.
Making money in the crypto space relies on going with the flow, not blindly following trends. According to Standard Chartered's prediction, the price of Bitcoin could reach $200,000 by the end of this year. Seizing this trend might make you a future winner.
The warming of US-China economic and trade relations injects new vitality into the crypto space, but novices must remain clear-headed. Mastering the above three tips can help seize opportunities while controlling risks.
Going with the flow, rather than blindly following trends, is the key to long-term profits in the crypto space.
How long do you think this market trend can last? Feel free to share your views in the comments!
