## Today's Market Rhythm

The crypto market has been quite profitable these days, and there was another positive release tonight. I want to organize my observations from the past two days.

## My Core Approach

The logic I analyzed yesterday remains valid. If the volume continues to shrink today, we should be alert to a potential pullback in the quantitative sector, as some old hot spots are showing signs of fatigue. As for mainstream institutional directions, it’s still mainly rotation. Today, I continue to track two lines: one is the rotation of technology-related sub-sectors, and the other is the rotation of new energy, energy storage, and semiconductors.

## Actual Market Performance

This morning, the volume shrank quite a bit, indicating that institutional inflows have paused again. As a result, quantitative funds have regained market dominance, and the quantitative sector has become active.

Some hot sectors that saw significant adjustments yesterday led the gains again today; regional hot spots also followed suit with upward moves. However, the Hainan concept and small-cap consumer-related stocks declined again today. So, my judgment on this theme was actually off.

The pace of quantitative trading is really fast—can everyone keep up? The stocks that rise today might be reversed for arbitrage tomorrow.

## Institutional Sector

Our approach has been correct—technology stocks continue to rebound, with storage, domestic chips, computing power-related, and new sensing sectors all performing; the new energy sector is also rebounding, with lithium mines and electrolyte-related stocks moving.

In addition, consumer electronics, electronic components, and power management stocks are also showing performance, overall presenting a broad rally and recovery trend.

Considering the market’s contraction, the banking sector also rallied. In our analysis, we emphasized paying close attention to bank trends in the afternoon and trying some small-cap concepts with low entries.

In the afternoon, the market volume increased, showing more stability, and some previously misjudged concepts also rebounded.

Overall, the institutional sector has been doing well these days, and the profit effect in some areas has been quite good.

## Outlook for Tomorrow

Tonight, the central bank signaled again, so tomorrow is likely to see a rotation and rebound pattern. Focus on the recently active hot spots. The key is to understand the rhythm: during volume expansion, focus on institutional sectors; during volume contraction, focus on quantitative sectors. If you can’t keep up with the rhythm, be patient and hold stocks aligned with institutional trends. We’re heading toward another new high after some twists and turns.