This week the market is expected to undergo a cycle of correction and rebound. The negative news about Japan's interest rate hike had already been priced in by the market in advance, and traders had also digested this signal early, so when the actual data was released, the impact was much smaller. I had hoped to catch that rapid decline at the bottom, but it didn't go as planned; within half an hour, the market turned twice, and I still couldn't find the optimal entry point.

Today’s rally is actually a normal reaction after the market has digested the negative news. When trading Ethereum contracts during the day, I was really following the market’s rhythm, chasing orders at a very fast pace.

From a weekly perspective, I lean towards bullish. However, there is still a potential major negative risk hanging overhead—like the Sword of Damocles, ready to fall and cause problems. Such policy risks and macro shocks cannot be digested by the market in advance, so the upward potential of the market actually has a ceiling. The main players still need to clean out the floating chips, and only then might a true bottom opportunity appear in the short term.

By the end of the month, trading strategies should revolve around this idea: tend to go long in the bottom area and decisively go short at the top area. The current market rhythm is oscillating upward, but always be alert for when that hanging sword might fall.