Master Discusses Hot Topics:

Last night, the Federal Reserve's minutes were released, and the market surged. Both the Nasdaq and S&P 500 hit new highs, and the crypto market also rode the wave. Bitcoin shot up to 112K in one go, looking quite impressive.

First, regarding the minutes, only a few people supported an immediate rate cut. These few are likely the same ones who previously tried to curry favor with Trump, like Waller. They support a rate cut not because the economy can't hold up, but because they want to show loyalty to Trump.

In plain terms, they are looking out for their own positions, but most committee members aren't that hawkish. To put it bluntly, they talk tough but are actually timid; it's highly likely that there will be at least one rate cut this year, which is essentially an early release of an invisible dot plot, right? The market naturally took this as good news.

Additionally, some committee members clearly stated that Trump's tariffs are unreliable and will bring uncertainty and risk. However, looking at it, with all the talk and bluster, the risk of tariffs seems to have eased.

So this wave has turned into good news again. I have to say, the Federal Reserve is both holding firm and secretly easing, really that kind of "I’m clearly very resolute, but I can’t say it."

Back to the market, Bitcoin has indeed surged, but honestly, would you dare to chase this trend? At 112K, it looks just like last year's 72K, poised to break through, but in reality, there are gaps everywhere, and momentum is declining; it’s not ready to stand firm.

The trading volume is visibly shrinking, with only over 90 billion left on July 10, which is a significant drop compared to May. This kind of rise without volume, to put it nicely, is a symbolic breakthrough; to put it harshly, it’s a pump-and-dump scheme.

Last night's movement was clearly follow-through; U.S. stocks surged to new highs, and the crypto market couldn't stay out, so it was passively dragged along. The question is, after this surge, who will take over?

Ethereum pulled a bit, but the price is meaningless, and altcoins are a mess, with no one paying attention. Do you understand? This is just a facade, not a real breakthrough.

To conclude, my personal approach is very simple. Trade within the range, repeatedly take advantage of key points. Don’t rush to go all in, and don’t be fooled by false breakouts.

What’s the most toxic trend? A sudden drop to 100K that scares people away, then a sharp rebound to 112K. This trick has already played out once, and it’s really effective!

The most critical question right now is not whether it has risen, but whether it can truly break through the ATH. If it can, then you can enter once it stabilizes on the daily chart; if it can’t, then prepare to fill the liquidity gap formed by last night's surge.

110.5K is the short-term defense line; if it breaks, continue to watch 109.7, 109.2K, or even the 107K area. Remember, although Bitcoin hasn’t skyrocketed, there’s also no reason for it to drop. The supply side is terrible, and no one wants to sell; even if no one buys, the price can’t drop. So why would it fall?

Master Looks at Trends:

Resistance Levels Reference:

Second Resistance Level: 113000

First Resistance Level: 112000

Support Levels Reference:

Second Support Level: 110500

First Support Level: 109000

The previous high of 110.5K for Bitcoin can serve as the current short-term support level. As long as this position holds, the overall bullish outlook remains unchanged. Before attempting to break through the historical high of 112K, it’s better to build support around 110.5K first, then break upwards for a healthier upward structure.

The RSI indicator shows it is in the overbought range, so be cautious of potential short-term adjustments at high levels. Currently, if there is no significant bearish candle with increased volume during the pullback, it still presents a short-term buying opportunity.

If the rebound continues to strengthen, there’s a chance to form a rising wedge pattern, with 115K being the key watershed for the bulls and bears. Currently at a historical high, it may face some profit-taking in the short term.

However, if the price can stabilize and build support below, the probability of continuing to set new highs will significantly increase. If it successfully breaks through 112K, 113K will be the next psychological pressure point.

Since there is no obvious resistance above 112K, a breakthrough is expected to see a strong surge, so pay attention to the emotional release and resistance testing in the 113K to 115K range.

The first support at 110.5K is a confirmed short-term low after this round of upward movement. If the price consolidates but still holds this level, it can be seen as an entry opportunity.

If the price breaks below the 110K to 110.5K range, the short-term structure will turn bearish. At this point, it can no longer be viewed as a normal pullback, but will shift to a frustrating downtrend + consolidation.

Since the market has shown a clear rebound, the focus now is on whether the price can build a solid bottom at high levels. If it can hold 110.5K, the bulls can continue to look higher. Conversely, if it breaks below, short-term caution is needed for further declines.

7.10 Master’s Band Trading Setup:

Long Entry Reference: Buy at 110500, Target: 112000, Close the daily line at 112200 to go long, Target: 115000

Short Entry Reference: If there is a strong pull followed by a rapid drop back near 112000 with divergence, then go short, Target: 110500-109000

If you truly want to learn something from a blogger, you need to keep following them, rather than making hasty conclusions after just a few market observations. This market is filled with performers; today they screenshot their long positions, and tomorrow they summarize their shorts, making it seem like they "always catch the tops and bottoms," but in reality, it’s all hindsight. A truly worthy blogger will have a trading logic that is consistent, coherent, and withstands scrutiny, rather than jumping in only when the market moves. Don’t be blinded by flashy data and out-of-context screenshots; long-term observation and deep understanding are necessary to discern who is a thinker and who is a dreamer!

This article is exclusively planned and published by Master Chen (WeChat public account: Coin God Master Chen). For more real-time investment strategies, solutions, spot trading, short, medium, and long-term contract trading techniques, operational skills, and knowledge about candlesticks, you can join Master Chen for learning and communication. A free experience group for fans has been opened, along with community live broadcasts and other quality experience projects!

Warm reminder: This article is only written by Master Chen on the official account (as shown above), and any other advertisements at the end of the article or in the comments are unrelated to the author!! Please be cautious in distinguishing between true and false, thank you for reading.

免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。