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- Copy Trading Master’s Introduction
User Nickname: Offline
Trader’s Profile: https://www.lbank.com/copy-trading/lead-trader/?id=LBA3D77455
Trading Style: Swing Trading
2. Trade Operation Recap
Full position, 10x leverage, long position on NEARUSDT (medium-term trading), opening at 1.499 USDT, closing at 1.578 USDT, single trade profit +52.7%. As shown below:
3. Trade Review
3.1 Market Background
On November 9th, according to information shared by Bloomberg ETF analyst James Seyffart, BlackRock registered an Ethereum Trust in Delaware. The disclosed entity is named ISHARES ETHEREUM TRUST. Upon this news, Ethereum immediately surged, rising nearly 10% from $1880 to briefly surpass $2100. Market sentiment was further boosted.
On November 14th, the U.S. Department of Labor released October inflation data, indicating a 3.2% year-on-year increase in the Consumer Price Index (CPI), a slowdown from September’s 3.7% and below the expected 3.3%. The month-on-month growth rate slowed to 0 from September’s 0.4%, also below the expected 0.1%.
Following the CPI data release, investors largely dismissed the possibility of further Fed interest rate hikes. Swap contracts indicate an expected 25 basis point rate cut by the Fed in June next year, revised from the previous expectation of July.
The U.S. Dollar Index experienced a short-term decline of 50 points, while non-U.S. currencies collectively rose. The Euro gained 80 points against the U.S. Dollar in the short term.
U.S. stock index futures saw a short-term rise, all gaining over 1%. Subsequently, the intraday gains in the U.S. stock market widened, with the S&P 500 and Nasdaq both rising by over 2%. The real estate sector surged over 5%, leading the way. The yield on the 10-year U.S. Treasury bonds briefly decreased by 14 basis points, now reported at 4.5%.
3.2 Trade Analysis
From November 9th to November 14th, the Bitcoin hourly chart shows consolidation after a peak, followed by a gradual decline, as illustrated below:
As Bitcoin continued its upward trend, other tokens followed suit in another round of gains.
On November 8th, the Near Foundation announced a collaboration with Polygon Labs to develop a zero-knowledge (ZK) proof tool for blockchain using Web Assembly (WASM). The zkWASM is expected to enhance developers’ experiences, allowing teams to customize authentication solutions when building projects.
The Near Foundation unveiled its NEAR Protocol (NEAR) development plan at the Nearcon conference held in Lisbon, Portugal, from November 7th to 10th, 2023. They aim to expand the L2 market by introducing Wasm blockchains to Ethereum. Polygon Labs and the Near Foundation are working together to develop a zero-knowledge (ZK) proof tool for Wasm blockchains, bridging the gap between Wasm-based chains and the Ethereum ecosystem.
On the 4-hour chart, NEAR rose to around $1.7 before retracing, finding support near the lower edge of a left-triangle formation. Subsequently, it stabilized, presenting a buying opportunity. After a brief dip in price, it quickly rose, reaching a peak near $1.8, followed by a consolidation phase. On November 14th, a candle rapidly dropped below the $1.64 support, signaling the end of the short-term uptrend and prompting a sell-off. See the chart below:
3.3 Winning Strategies Summary
For swing trading, you must choose products with expected fundamentals and wait patiently.
Note: Personal opinion, for reference only. Opportunities and risks abound, always do your research before investing.