Every consolidation serves to accumulate momentum for the next round of trend rise. The market liquidity has significantly contracted over the weekend. After Bitcoin's rise and rebound yesterday morning, it neither continued its upward momentum nor underwent a deep correction. Instead, it fell into a narrow fluctuation range around the key integer level of 88000, with a daily volatility of less than a thousand points. Both long and short sides are stuck in a tug-of-war, and no clear dominant direction has emerged. The current market is using time to exchange for space, continuously digesting the chip divergences caused by previous violent fluctuations. The subsequent directional breakthrough still needs to wait for a clear signal from volume or news to catalyze it.
From the current market perspective, the 1-hour K-line shows a characteristic of alternating small steps, with the amplitude of fluctuations continuing to shrink, compounded by a simultaneous decline in trading volume. The forces of long and short have temporarily reached a balance, and the overall market has entered a phase of adjustment. Fluctuation consolidation has always been an important accumulation process before a trend starts. The effective stabilization of key support levels, coupled with the gradual accumulation of volume, is laying a solid foundation for a new upward trend. The short-term fluctuations in the market do not change the long-term operational logic. Only by maintaining patience and composure, and anchoring core trading logic amidst uncertainty, can one take the initiative in market fluctuations and accurately grasp the trend opportunities after breakthroughs. From an operational perspective, it is advisable to wait for effective volatility space to open before entering the market at the right time.
Bitcoin: Layout long positions near 87700, target focus on 89000.
Ethereum: Layout long positions in the range of 2940-2970, target focus on 3050.
