Good morning, everyone～

Last night, the overall market volatility increased significantly, with a rapid pullback at one point during the session. However, the subsequent buying support was strong, and the market eventually stabilized. As it stands, the overall market is still maintaining an oscillating and slightly bullish rhythm.

There are several main reasons for this market movement.

First, the biggest negative factor in the market has largely been digested. Strategy historically sold 3,588 BTC, breaking the market's long-standing expectation of 'only buying, not selling.' The announcement did cause some panic. However, multiple Wall Street institutions later considered this pullback more of a healthy correction and an opportunity for medium- to long-term capital deployment, which gradually stabilized market sentiment.

Second, institutional capital continues to flow in. American Bitcoin purchased an additional 500 BTC, and Empery Digital accumulated approximately 1,200 BTC over six days. The continued real-money buying by listed companies also indicates that many institutions remain bullish on Bitcoin's future performance. In addition, Trump has recently expressed support for the crypto industry multiple times, further boosting market confidence.

On the other hand, shorts also became a major driver of the rally last night. As buying pressure continued to increase, Bitcoin not only did not continue to fall but instead quickly surged, causing a large number of short positions to be liquidated. According to data, the total liquidation amount across the network in the past 4 hours was approximately $221 million, with both longs and shorts being liquidated. The short liquidations further pushed market passive buying, forming a typical short squeeze, which also helped BTC reclaim a key level.

In terms of fund flows, on July 6, crypto ETFs overall returned to net inflows, with a single-day net inflow of approximately $75 million. Although the fund size is not particularly large and trading volume is relatively ordinary, it ended the previous consecutive outflows, providing some boost to market sentiment. In the future, we still need to monitor whether institutional capital can maintain sustained inflows.

This week, the macro level is also worth close attention. On July 9, the Federal Reserve meeting minutes will be released, along with several U.S. economic data releases. Additionally, the crypto industry itself has multiple important events taking place, and market volatility is expected to increase.

Overall, the daily chart of the broader market is still characterized by consolidation. Until new major negative factors emerge, the market overall is leaning towards oscillatory recovery. In terms of operations, it is recommended to focus on spot buying in batches on dips, avoid blindly chasing highs, and patiently wait for opportunities after pullbacks.

Short-term key levels to watch:
BTC resistance above around 65000;
ETH resistance above around 1850;
SOL resistance above around 84.
$BTC ‌$ETH ‌$SOL ‌