December 11th, Thursday evening operation thoughts
The current price of Bitcoin is stuck around 90261, having dropped nearly 3% in the last 24 hours. The 4-hour chart clearly shows weakness—price is directly resting below the middle band of the Bollinger Bands, which is currently around 91435; this position is a short-term hurdle.
The moving averages have formed a bearish arrangement, with MA5 pressing down on MA10 and MA20. The bearish momentum has not eased. The MACD is more direct, with DIF crossing below DEA to form a death cross, and the green bars are still expanding, indicating that bearish momentum is growing stronger; however, the J value of KDJ has dropped to 2.72, indicating that short-term overselling is quite severe, and there may be a small rebound, but do not expect it to be strong.
Looking at support and resistance, the nearest resistance above is 93320, with strong resistance at 96443. Key support below is at 88198, with strong support at 86198. The trading volume is also quite interesting; previously, when it dropped, the volume increased, but now the volume has shrunk significantly, indicating that the market is observing, and no one dares to act easily.
For now, don't rush to go long unless the price can break through the middle band of the Bollinger Bands at 93500 with increased volume + key resistance; otherwise, the rebound is likely to be fleeting.
If going short, the aggressive ones can try a light position around the current price of 90261, with the position not exceeding 5%; the conservative ones should wait for a rebound to the pressure zone where MA5 and the middle band of BOLL coincide at 91000-91500 before entering in batches. Set the stop-loss at 93500-94000; if it breaks below 88198, then watch for 86198. If this position cannot hold, watch for 83075.
If Bitcoin suddenly increases in volume and stands above 93500, the bearish trend might change, so quickly close your shorts and observe instead of holding on stubbornly.
