Today, watching the market has made my eyes sore, just to get the pulse of Doge for this hour. The current price is hovering around 0.14091, but the big trend chart tells me: the decline is not over yet.
First, let me pour a bucket of cold water: don't be fooled by the MACD white line making a 'golden cross' above the water, looking like it's ready to surge. But remember, in an overall downtrend, such signals are often 'false moves', professionally known as 'rebound traps'. The main players are just waiting for retail investors to jump in, ready for a big harvest.
The pressure is immense, is the rebound just giving you a chance to 'short' it?
Let's analyze the key levels. Above, 0.14600 is the first ghost gate, and 0.15001 is the ceiling that has been difficult to surpass recently. Why do I say this? Look at the candlestick chart, every time it rebounds to this area, it gets smashed down hard, accumulating a large amount of trapped positions.
A picture speaks a thousand words; the first short-term defense line is in the range of 0.14200-0.13900. There may be a small rebound here; technical analysts will speculate on a short-term rebound here, referring to 'profitable rebound' here. But this is just licking blood on the edge of a knife, quick in and out, set your stop-loss, and the game is like picking up chestnuts from the fire.
If you are unfortunately stuck now, and your position is not heavy, the rebound to near the resistance level is your last chance to reduce your position and lower risks. If your position is heavy, you should take advantage of any rebound to reduce your position; don't let losses expand infinitely. The first lesson in trading: survive.
Price volatility is high: short-term volatility is relatively high, with positive returns in 4 hours and negative returns in 24 hours coexisting, significantly increasing trading risks.
Liquidation risk: Long positions are frequently liquidated, reflecting a high use of market leverage, easily triggering chain liquidations.
Trend has not yet reversed: Medium to long-term charts show that the downward trend has not changed; blindly trying to catch the bottom is not recommended.
Everyone's position size is different; it is recommended to find Shengyi, become a resident of Shengyi Village, and synchronize to enter the market and build positions. Shengyi helps you plan your position and control risks!
Shengyi's viewpoint:
Combining the direction of the candlestick chart and the overall market sentiment, Doge's main theme in the short term is still oscillating downwards in search of support. That golden cross on the water is more like a gasp during the decline; don't be misled by it. The most stable operation is always: go with the trend and make key decisions at critical positions. In a downward trend, shorting during a rebound is the main dish, while betting on the rebound is just a dessert; don't get it wrong.
Shengyi's strength is not bragging or making empty promises, but teaching you practical survival skills. Follow Shengyi; fans who want to keep up should find Shengyi Village, where Shengyi announces entry and exit points daily!
