Viewpoint: Heavy positions in Bitcoin and Ethereum, new highs are the beginning

Original author: Allen Ding Ding, founder of Ebunker

Editor's note: In the past week, Bitcoin has exceeded the history of November 2021 three times. Highs: Tuesday, Friday and weekend, breaking $69,100, $69,200 and $70,000 respectively. Yesterday, Ethereum price crossed $4,000. At press time, Bitcoin price was $71,760.4 and Ethereum price was $4,045. The rapid growth of this bull market may have surprised everyone. Ebunker founder Allen Ding 丁 shared on X His trading strategies and insights into the current bull market are reproduced in full by BlockBeats as follows:

Note: This article only represents the personal views of the author of the original article. This article is for learning and communication purposes only. There is no investment advice. The crypto market has high risks and frequent price changes. Users should act according to their ability and should not invest impulsively.

Two years ago I set a major tone for my operation in this bull market, which all old fans have known for a long time:

1. Full positions of spot stocks as early as possible, currency standard is the thinking that a bull market should have. So I was personally full in November 2022, when Ethereum was 1180.

2. Be heavily invested in big pie and Ethereum, and strictly control the number of small coins within 10.

My current position is 20% in Bitcoin, 60% in Ethereum, and 20% in small coins.

3. Be sure to look for opportunities to leverage on Bitcoin and Ethereum, but never exceed 2.5x the full position.

Why use leverage? Because it can indeed amplify profits, and this round may be the last big rise in the currency circle that ordinary people can enjoy. Why not go above 2.5x, because I think plunges of over 30% will be common in bull markets and it's easy to get wiped out with too much leverage.

4. Unless there are obvious top features, we will not sell, but once there are obvious top features, we must sell.

At present, I have completed 1 and 2 well, but 3 has not been completed. This has also been a knot in my mind. Finally, 5 days ago, Bitcoin 63500/Ethereum The 3500 position has a 0.8x leverage, and the current full position is 1.8x. It must be admitted that opening a position at this position is definitely not the best choice, it is more like a last resort, because the bottom of the pie this round is 15,000, the bottom of ETH is 900, and the position where I put the leverage is already 4 times the bottom price location. But I still decided to get on the bus at this point because I wanted to understand something.

1 The participating funds have changed

The passage of ETF directly allows old money in the United States to The above board has entered and dominated the Crypto game unimpeded. This is sea water pouring into a small fish pond, and the fundamentals of the small fish pond itself are not important at all. This is why after the adoption of the ETF, Bitcoin did not have the deep correction I imagined, and quickly reversed and hit new highs repeatedly. Even if the technical side is very bearish, it can still rise indefinitely. The essence is that the technical side of small fish ponds is not called technical side, but that of sea water. I have recently interviewed many technical experts and short-term experts around me. They have generally failed in this wave, and they have also begun to surrender and join the blockchain revolution in the past month.

"As long as you surrender quickly, you will be a member of the revolution"

2 Zhuang Bian Now, the rules have changed

In the past, the main market makers in the industry were exchanges and market makers. They relied on market fluctuations to make money. It doesn’t matter how much Bitcoin rises unilaterally in a bull market. What matters is whether the amplitude is large and whether the fluctuations are large, because as long as the volatility is sufficient and there is a back and forth, the dog bettors will be very happy, and the dog bettors will open orders. The more frequently, the more exchange fees will be earned, and the greater the arbitrage space for market makers. But this time the bankers are ETF issuers such as Huajie. Their profit model is not handling fees, but management fees. For a 5 billion fund, they charge 0.2%, for a 50 billion fund, they also charge 0.2%, and for a 500 billion fund, they can still charge 0.2%. So I ask you, do they want to make the plate bigger or smaller? The answer is of course to get bigger, because only if the market is bigger can they earn more management fees. How to make the plate bigger? Of course, the price of Bitcoin must be high, because there are only so many pieces of pie. The higher the price of the pie, the bigger the plate.

"Find the banker's purpose and judge whether he has completed his purpose. If not, then join"

3 Don’t call it high before a new high, it starts after a new high

I vaguely remember January 2021, when my partner @0x_todd and I were in Yunnan On New Year's Eve, we were soaking in hot springs and eating fungus hot pot. We watched Ethereum go from 700 to 1,300 in one month, with an increase of 78% in a single month. I was stunned. The front high is over 1400, which is right around the front high. At this time, the price of Ethereum on February 1st was 2283, and now it is 4018, which is exactly an increase of 76%. The previous high was more than 4800, which was also near the previous high. Let me ask you, is this moment the same as that moment? If you think Ethereum is very high now, congratulations, you will definitely think that Ethereum at 1300 was also very high at that time, and then you will have no chance of Ethereum at 4800.

"Sometimes, chasing the high is the real bargain hunting"

4ATH will take several times to break through, But you must seize every opportunity, especially the first time

The main reason why I chose to leverage on March 6 is that I think March 5 The liquidation data and callback strength after the failed impact on ATH are qualified, and the rebound strength is also very strong. In the bull market of 2021, ATH I remember that it took 4-5 times for the daily level to break through. This round due to the strong support of ETFs, the breakthrough resistance of ATH must be smaller than the last time, so I think it is qualified after the first occurrence. After the correction, I opened a position without hesitation, because I didn't want to bet that the second or third breakthrough failed.

"In a bull market, any bet that prices will not rise is foolish"

Finally, I hope that my sharing can help comrades who are not yet full of positions to gain some strength. The current bull market is only 1/4 of the bull market. Next, you will also experience the explosion of mainstream currencies such as Ethereum, and the top 100 CMC projects by market value. There are many opportunities in the bull market, such as the shuffling of the cards, the chaos of altcoin demons, and the dominance of zoos over humans. Each link has a 5-10 times chance. Seize this bull market!

Finally, I do not encourage everyone to impose a leverage ban, especially a high-magnification leverage ban. I myself was a victim of the last round of high-magnification leverage. There are repeated reminders in every live broadcast. This article only shares ideas and does not guide you to open leverage and contracts.

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