The market tonight doesn't need much explanation from me; the air is filled with the smell of blood.🩸
I just took a look at the data, and the Fear & Greed Index has dropped to 15 — extreme fear! The last time I saw this value was when the market was crashing to the bottom.
Currently, BTC is holding strong at the $91,xxx - $92,xxx line. Many people are asking me if I should cut losses and exit the market?
My answer is very clear: cutting losses at this position is likely to hand over blood-stained chips to the market makers.
Tonight, focus on the following 3 signals before taking action:
1️⃣ Sentiment: What goes to extremes must revert
When everyone around you is shouting “It’s going to 80,000” or “The bull market is over,” it often indicates a local bottom. The main players love to create a big green candle when everyone is desperate, directly squeezing out the shorts.
2️⃣ Key levels (hard facts):
Lifeline: $90,000. This is the psychological bottom for bulls and also a concentrated area for liquidating a lot of leverage. If tonight it spikes below $90,000 and quickly recovers (long lower shadow), that’s an excellent right-side buying signal!
Resistance level: $94,500. If it can reclaim this level with volume, the short-term downward trend will be reversed.
3️⃣ Macro aspect: The Federal Reserve's ghost stories
Recently, there has been a flood of FUD (fear, uncertainty, doubt) about the Fed not cutting interest rates in December, leading to a double whammy for both the stock market and the crypto space. But remember, when expectations are realized, it’s a positive sign. The current drop has already absorbed this bad news.
💡 Tonight's strategy:
Spot traders: Lie flat! Don't look at your account balance. The current drop is to prepare for a higher jump in the future.
Contract traders: The volatility is extreme, avoid high leverage shorting! I will place an order around $89,800 - $90,200 to try and catch this “heaven and earth needle.”
📉 Soul-searching question:
At this moment, are you ready to bottom-fish with your USDT, or are you preparing to withdraw and run?
Let me know your position in the comments:
A. Fully invested and taking hits 😭
B. Flat waiting for a crash 🐻
C. Bottom-fishing 🚀
