Copy Trading Master’s Winning Strategies Review — Episode 39
Easy Follow, Smart Trade! Discover the winning strategies of our popular traders.
- Copy Trading Master’s Introduction
User Nickname: BlingBling~
Trader’s Profile: https://www.lbank.com/copy-trading/lead-trader?id=LBA3D77565
Trading Style: Swing Trading
2. Trade Operation Recap
Long ETCUSDT with 10x leverage on cross mode, opening at 24.707 USDT, closing at 27.086 USDT, achieving a profit of +96.31%. As shown below:
3. Trade Review
3.1 Market Background
On April 20, Bitcoin completed its fourth halving, leading the cryptocurrency market to rebound for two consecutive days before trending down.
On April 23rd, data released by S&P Global showed that the U.S. April manufacturing PMI fell below the boom-bust line, with a preliminary value of 49.9, well below the expected value of 52 and the March previous value of 51.9, marking the lowest level since December 2023.
On April 25th, the U.S. Department of Commerce released data indicating that the U.S. Q1 Real GDP Annualized QoQ Preliminary estimate grew by 1.6%, significantly below the expected 2.5% and down from the 3.4% of Q4 last year.
The unexpected slowdown in U.S. Q1 economic growth, combined with persistently high core inflation and a robust labor market, has heightened concerns about stagflation. This has made the Fed’s interest rate outlook more uncertain and has further dented hopes for a rate cut.
On April 30th, the Hong Kong capital market made history as Bitcoin Spot ETFs and Ethereum Spot ETFs were listed.
On May 1st, the U.S. ADP Employment Report showed that U.S. April ADP employment increased by 192,000, higher than the expected 180,000, and the March reading was revised upwards from 184,000 to 208,000.
On May 3rd, the U.S. Department of Labor reported that U.S. April Nonfarm Payrolls increased by 175,000, below the expected 240,000, and the March reading was revised upwards from 303,000 to 315,000. April’s Nonfarm Employment significantly underperformed expectations, marking the largest discrepancy since December 2021.
U.S. April Unemployment Rate stood at 3.9%, in line with expectations but slightly higher than the previous value of 3.8%, remaining at its highest level since January 2022.
Since early April, strong U.S. employment data and persistent inflation data have been released, causing U.S. stock indices to continuously decline, and the cryptocurrency market has also fallen from its highs. Subsequently, the “U.S. April Employment Data” released in early May exceeded expectations, prompting a significant rally in the U.S. stock market and a reversal in the crypto market.
3.2 Trade Analysis
From April 7th to May 8th, Bitcoin’s 4-hour chart showed a high-price decline along the trend line followed by a sharp drop and rebound, as shown below:
On April 29th, Bitcoin prices fluctuated narrowly between 61,600 and 61,500 USD, reflecting overall weakness in the crypto market. Once the U.S. stock market opened that day, BTC quickly plummeted and then rebounded sharply, stabilizing above 62,500 USD and reaching a peak of 64,500 USD. The following day, the crypto market plummeted, with BTC dropping from 64,000 USD to as low as 57,000 USD.
In May, the popularity of put options with strike prices of 59,000 and 58,000 USD set to expire on May 10th unexpectedly surged.
On May 1st, before the U.S. stock market opened, the “U.S. April ADP employment increased by 192,000, higher than the expected 180,000” data stimulated a flat performance in the crypto market. Despite prevailing bearish sentiment, BTC did not decline further. On the same day, after ETC declined and found support at 24 USD, a long position was opened to capitalize on the following rally. On the 60-minute chart, ETC got support at the lower boundary of the range. Subsequently, BTC surged, and the entire crypto market rallied. On May 7th, ETC peaked at 29 USD before rapidly pulling back. The long position was closed at 27 USD, as shown below:
3.3 Winning Strategies Summary
From a market correlation perspective, the crypto market aligns with U.S. stock market fluctuations. Thus, when U.S. macroeconomic data is released, it often triggers significant market movements in the crypto space.
Additionally, trading is inherently counterintuitive. “Be fearful when others are greedy, and greedy when others are fearful.”
Note: Personal opinion, for reference only. Opportunities and risks abound, always do your research before investing.
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