Zongheng Freely: In a large area of fluctuating market conditions, when it can break through is the key.

CN
2 days ago

The cultivation of life is about refining oneself, being able to adapt to living in different circumstances. Regardless of whether one is in a favorable or unfavorable environment, one should face it calmly and not let changes in the environment and situation affect one's emotions. Every circumstance should be seen as a test of oneself; it is all part of life's cultivation!

This market trend is really a slap in the face. According to the plan from the day before yesterday, we should have positioned ourselves to short around 86000, but in the end, we were somewhat deceived by the market. It maintained a high-level fluctuation under the expected correction pattern and showed strong short-term performance, giving the impression that it couldn't drop and had signs of a breakout upwards. However, yesterday's actual rebound only reached 86500, which is still some distance from our predicted shorting area of 87500-88500, and then it began to correct, with the low coming down to around 83000. Based on our layout from yesterday, we added to our position when it corrected to around 84500, with an average price around 84000, and we are currently experiencing a slight loss.

In the market, Bitcoin is following the decline of the U.S. stock market. Currently, the market is still shrouded in the shadow of the U.S. stock market, and the current macro background determines that it cannot break out independently. With the appearance of a correction, the daily price has returned to the area of the moving average intersection. The upward breakout we originally anticipated has not been realized, and it has returned to the area of 83000-84000, where it previously fluctuated for the longest time. The daily MACD is still in a bullish cycle; although this bullish cycle has not brought about a significant market movement, it is still too early to determine if the bullish trend has ended. If it chooses to build momentum upwards again, it may reach even higher peaks.

The short-term trend on the four-hour chart does not look good. The market peaked at 86430 before starting to turn down. This sudden drop from a high position has disrupted the previous upward rhythm. Currently, we are watching whether the short-term support at 82700 can hold; otherwise, the structure may start to form a double top trend. In terms of technical indicators, the MACD double lines have crossed multiple times above the zero axis, reflecting the indecision in the market direction within this range. At this position, if the bulls can exert force again, there is actually quite a bit of space to directly end the bearish cycle. If this can resonate with the daily cycle, it would be ideal. The most concerning short-term scenario is the continuation of the bearish trend, and it seems that the market's bearish sentiment is a bit high at the moment. Ultimately, how the short-term market moves will still depend on the performance of the U.S. market.

In terms of operations, we will temporarily continue to hold the long position with an average price of 84000. The stop-loss remains unchanged. If the market drops again and hits the stop-loss, we will consider positioning to go long at 81500. If the market rises, we will consider shorting when it first touches around 88000. We will also notify you of real-time market conditions during trading.

The Ethereum position around 1580 is also near the holding cost price, and we will continue to hold it for now. If a rebound occurs, we will consider shorting around 1800.

【The above analysis and strategies are for reference only. Please bear the risks yourself. The article is subject to review and publication, and real-time market changes may lead to information lag. Specific operations should be based on real-time strategies. Feel free to contact us for market discussions.】

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