Currently, there are no issues with the trend.

Good evening, this is Li Mu. I haven't been online for two days, and my private messages are exploding. It's either the market is too complicated to understand or I'm at a loss. I really can't help it, so I took some time to sort out the market direction for everyone. After all, I don't want to come back to a chorus of complaints from my brothers below.

As usual, let's review the market first. The reversal setup provided on Monday was perfect, with Bitcoin at 84,800 and Ether at 2,800 accurately dropping to Bitcoin at 84,000 and Ether at 2,720. The market beautifully provided a space of over 1,000 points for Bitcoin and over 80 points for Ether. Although it's short-term, it was still a satisfying gain. Subsequently, the market successfully found support at the weekly level, resulting in a daily reversal, with Bitcoin reaching a maximum of 94,000 below resistance, and Ether encountering resistance at the 3,050 mark. At this point, I believe many friends may begin to waver, wondering if the bull market has returned and if they should stop shorting.

Let's analyze the market before drawing conclusions. From a structural perspective, although this round of upward movement has reached a new high after Bitcoin at 80,600, I believe this is also the reason why the majority of people have changed their attitudes. However, Li Mu can only say that it is still too early to make such a judgment. The market remains influenced by liquidity panic, based on three reasons:

First, through ETF and on-chain data, trading volume is far below bull market levels, and the market is still in a state of panic;

Second, the high level is still firmly suppressed by the previous bear trend, and the overall trend remains bear-dominated;

Third, both bulls and bears are clearly engaged in a tug-of-war at the 4-hour level, and the level moving averages are encountering resistance. Combining the first two points, I believe the probability of continuing this upward movement is extremely low.

Based on the above viewpoints, the strategy for the future market is quite clear. Currently, we can prioritize looking for opportunities at the market price while also preparing to add positions above Bitcoin at 93,000 and defending 1,000 points above the previous high. For Ether, we can synchronize and ensure defense at 3,160. #ETH走势分析 #加密市场观察