Copy Trading Master’s Winning Strategies Review — Episode 20
Easy Follow, Smart Trade! Discover the winning strategies of our popular traders.
- Copy Trading Master’s Introduction
User Nickname: @Onlooker
Trader’s Profile: https://www.lbank.com/zh-TW/copy-trading/lead-trader/?id=LBA3D77490
Trading Style: Swing Trading
2. Trade Operation Recap
Long ORDIUSDT in cross mode with 20x leverage (medium-to-long term trading), opening at 55.96 USDT, closing at 74.08 USDT, achieving a profit of +647.8%. As shown below:
3. Trade Review
3.1 Market Background
On December 13th, after the FOMC meeting, the Federal Reserve held off on rate hikes, reducing its end-2024 interest rate forecast from 5.1% to 4.6%, signaling a “dovish” stance for the next year. Fed Chair Powell, who had previously tried to curb market expectations for rate cuts, discussed the prospects of lowering rates, acknowledging it as a clear topic of discussion.
On December 18th, three Fed officials voiced confusion over the market’s premature rate cut expectations for the next year, advocating a “hawkish” stance to temper speculation.
On December 19th, the SEC’s Office of Market Supervision and the Division of Trading and Markets met again with BlackRock executives to discuss the details of the proposed Bitcoin spot ETF.
On December 21st, the U.S. Department of Commerce released the final quarterly annualized GDP growth rate for Q3, revising it down to 4.9% from the previously reported 5.2%, exceeding expectations of 5.2%.
On January 9, 2024, according to a public document, BlackRock submitted a Form 8-A to the SEC for its Bitcoin spot ETF registration.
3.2 Trade Analysis
From December 12th to January 9th, Bitcoin’s daily chart exhibited rapid rise followed by broad oscillations:
On the daily chart, BTC climbed to around $44,000 (December 6th) and then began high-level consolidation before quickly dropping to a low of $40,200.
On December 15th, U.S. stocks continued to surge significantly, unaffected by the Federal Reserve’s “hawkish” stance. The cryptocurrency market followed suit with a substantial rally, reaching highs near $43,030.
On December 20th, BTC revisited the $44,000 mark, then entered a triangular consolidation phase.
On January 2nd, BTC’s significant rise to near $45,000 (coinciding with a $1,400 premium of BTC futures on CME over Coinbase spot prices) was followed by a sharp decline to around $40,000, leading to over $600 million in liquidations in crypto contract trading on a single day.
On January 8th, SEC Chairman Gary Gensler issued a special warning to the cryptocurrency investment community on X (Twitter). Gensler’s advice coincides with a critical moment when the SEC is expected to make a decision on the Bitcoin ETF application. This advisory was seen as an attempt to alert investors of potential risks associated with cryptocurrencies before the introduction of regulated investment tools like Bitcoin ETFs.
Regarding the approval of the Bitcoin ETF by the SEC on January 10th, the outcome remains uncertain. The cryptocurrency market is expected to experience increased volatility in anticipation of this decision, leading to the early closure of long ORDI positions to mitigate potential risks.
3.3 Winning Strategies Summary
In swing trading, it’s essential to focus on fundamental expectations.
Note: Personal opinion, for reference only. Opportunities and risks abound, always do your research before investing.
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