Dogecoin’s Shocking Drop Where to Go Amid Bitcoin’s Plunge? Matrixport report analysis: Bitcoin spot ETF’s uncertain future plunges Bitcoin by 20%

Original author：狗狗幣中文社群之新聞台

Original source：https://www.youtube.com/embed/VwvgIjdFI6Q

https://www.blocktempo.com/matrixport...

https://blockcast.it/2024/01/03/secs-...

Today is Thursday, January 4, 2024, everyone is safe!
The night before dawn is the darkest,
But I guarantee the sun is coming up and a bull market is coming.
Believe in the power of Dogecoin, believe in the value of Dogecoin,
As long as you insist on buying and holding Dogecoin, no matter how difficult you encounter in the future,
Dogecoin will become your superpower to solve all problems,
Every step you take is paving the way for your dreams.
Friends of the Dogecoin Chinese community, come on!
This is the news station of the Dogecoin Chinese community
The news we are going to introduce today comes from blocktempo
This news was published on January 3, 2024, Taiwan time
The headline is Dogecoin’s Shocking Drop Where to Go Amid Bitcoin’s Plunge? Matrixport report analysis: Bitcoin spot ETF’s uncertain future plunges Bitcoin by 20%

Bitcoin has experienced a violent price drop recently, plummeting from US$44,500 to US$40,750 in 24 hours, a drop of up to 6.3%, which is the largest recent decline. The main reason for this plunge was a research report from Matrixport. The report mentioned that because the U.S. Securities and Exchange Commission (SEC) did not meet the review standards for Bitcoin spot ETFs, it is expected that no relevant applications will be approved in January and may have to be postponed to the second quarter of 2024. Matrixport further predicted that if the SEC ultimately rejects these Bitcoin spot ETF applications, the price of Bitcoin may drop to $36,000 to $38,000 in the short term, a drop of about 20%. In this regard, if investors do not see any news about the approval of Bitcoin spot ETFs before January 5, they should consider buying put options or shorting Bitcoin. It is worth noting that the technical analysis rationale for this price prediction is not elaborated in the report. Despite this, Matrixport remains optimistic about the long-term value of Bitcoin, believing that the Bitcoin halving event and the US presidential election in 2024 will have a positive impact on the price of the currency, and the price at the end of the year is expected to be higher than the $42,000 at the beginning of the year. Investors need to remain cautious during the current market volatility.

1. Short-term bearishness:
Dogecoin’s short-term price action closely correlates with Bitcoin’s, and historical data shows that when Bitcoin experiences significant moves, Dogecoin typically follows its trend. Bitcoin is currently under pressure. The main reason is that the SEC's review standards for Bitcoin spot ETFs have not met the standards and it is not expected to approve any relevant applications. Taking the Bitcoin crash in May 2021 as an example, Dogecoin also experienced a similar decline, so Dogecoin may face downward pressure in the short term. In addition, the cryptocurrency market is very sensitive to regulatory news, and the current uncertainty may increase investors' risk aversion, further putting pressure on Dogecoin. For example, the sharp correction in the cryptocurrency market in early 2018 was partly due to regulatory concerns.

2. Long-term view:
Considering Matrixport’s optimism about Bitcoin’s long-term value, we can speculate that this optimism may also have a positive impact on Dogecoin. Since there are often interactions between various currencies in the cryptocurrency market, the performance of Bitcoin, the market leader, in particular, often has an important impact on other currencies. Therefore, if the market remains positive about Bitcoin’s long-term outlook, this could boost confidence across the crypto market, including towards Dogecoin. Coupled with the strong community support and media attention Dogecoin itself has, especially from celebrities like Elon Musk, these factors combine to combine with Matrixport's optimistic view of Bitcoin's long-term value, and the cryptocurrency market as a whole. Dogecoin’s “moon landing” plan can be regarded as a symbol of the innovation and vitality of the crypto market. This not only enhances Dogecoin’s brand image, but may also boost its market performance in the long term. Therefore, taking these factors together, the bullish view of Dogecoin in the long term is further supported.

Overall, Dogecoin is likely to face downward pressure in the short term due to Bitcoin market volatility and regulatory uncertainty. This provides investors with a good opportunity to make regular fixed-amount investments (DCA) to reduce the average cost of long-term investment by diversifying purchases at low prices. In the long term, with the market's optimism about the long-term value of Bitcoin and Dogecoin's strong community support, its market performance is expected to show a stable or positive trend, further strengthening the case for investing in Dogecoin through the DCA strategy. attraction. Based on the above factors, this channel believes that this is the golden moment for long-term investors to accumulate chips and plan for the future. However, it must be emphasized that these views we share are not professional investment advice. They are only based on our observations and analysis. If you have any questions about our interpretation, we recommend that you refer to the source news link attached in the information column. For further verification, it is crucial for investors to do their own homework. Please remember to never invest in something you do not understand, never invest in a position that you cannot afford to lose, and make investment decisions carefully. . Of course, we will continue to pay close attention to the latest developments in Dogecoin.