New Fire Research Institute: The current bottoming process in the crypto market is basically complete, and an accelerated upward trend may begin

The latest market analysis from XinHuo Research Institute indicates that the directional breakthrough in the crypto market has arrived as expected. Last week, Bitcoin’s 30-day implied volatility dropped to 40%, the lowest since October of last year. Markets that are often so calm are usually accompanied by major directional movements. Early this morning, Bitcoin broke through $96,000, and Ethereum surpassed $3,300, with 24-hour gains of 4.4% and 7.4%, respectively, signaling that the market direction has become clear.

XinHuo Research Institute Director Ding Yuan believes that the current rally is well-founded. As the overall macro environment stabilizes from January to February, multiple positive factors such as A16Z’s new $15 billion fund focusing on crypto and the lifting of South Korea’s crypto investment ban are driving the market. The institute maintains its previous core judgment — Bitcoin will attempt to break the $100,000 mark in the short term, while also firmly optimistic about Ethereum’s “revenge” rebound after being oversold.

It is worth noting that XinHuo Research Institute’s strategic judgment ability has been validated multiple times at key market junctures. Previously, at the end of November when the market was most panicked, XinHuo was the first to publicly set the tone, pointing out that it was a “strategic positioning window after being misjudged,” and at around $80,000 for Bitcoin, it used its own funds to add to positions against the trend. In early December, during Ethereum’s Fusaka upgrade, the institute published a research article titled “Undervalued Ethereum Fusaka Upgrade: Scaling, Fee Reduction, from Inflation to Deflation,” expressing confidence in its long-term upward potential. Today, the strong performance of Bitcoin and Ethereum fully confirms XinHuo Research Institute’s previous series of predictions.