Daily Summary
The major cryptocurrency has transformed from a downward channel into a box oscillation pattern. This indicates that the trend of the downward channel has been altered to an oscillation form, suggesting a halt in the movement trend, which may lead to a reversal.
If the major cryptocurrency finds support between 840 and 820, the probability of returning to 980 remains relatively high, at least reaching around 940, which is the recent high point. Therefore, if there is another opportunity to buy at the bottom this week, there could be significant upward potential. According to the current news, most whales still firmly hold a bullish outlook, and the insider position of 1011 remains open, currently at a loss of 4000w.
From a shorter time frame perspective, all trend movements of the major cryptocurrency are accompanied by counter-trend candlesticks, indicating weak momentum in the trend movements. Historically, the market around Christmas has been dominated by oscillations, primarily driven by quantitative trading and retail investors. Thus, the probability of a one-sided market is relatively low. Conversely, this provides a comfortable opportunity for trading in oscillations. In the absence of a significant one-sided market, as long as the entry points are conservative enough, it is generally possible to make a profit.
BTC Strategy 90400-910 short, 855-840 long
The pattern of Ethereum is quite similar to that of the major cryptocurrency, and it can be said that Ethereum's trend is much stronger than that of the major cryptocurrency. This is because it has broken through the previous swing high of 3030. However, from a decline yesterday, it essentially covered a day's movement, indicating that its volatility is quite large. Therefore, for a cryptocurrency like Ethereum with high volatility, we need to be more conservative in seeking entry points, as it is uncertain whether it will break a certain swing high or low. If our entry point is too aggressive, it may be stopped out. Therefore, for Ethereum, the entry point should be more conservative, and the stop loss should be set further away.
ETH Strategy 3050-3080 short, 2840-2800 long
