Monday Morning Thoughts

Sharp rise halted, short position first

Overnight Bitcoin strongly broke 112000, and the short-squeezing sentiment is obvious. Currently, the short-term bulls are gaining strength, but after the increase, it has not continued, and the 112000 area is fluctuating.

From the daily chart, the short-term rise is difficult to change the bearish pattern; although the 4-hour chart shows strength and closes up, there is still a distance from the previous high, the momentum is limited, and the sharp rise is hard to sustain, do not chase highs.

Trading Suggestions

BTC Short near 112300—113000, with a target at the 110000 area below: if it breaks, continue to look down; if it does not break, consider going long.