Bitcoin and Ethereum Market Analysis and Trading Strategy (Wednesday Early Morning)
Daily Review and Summary
Today's market, after experiencing a previous high and subsequent drop, has once again entered a narrow range of fluctuations. Although the morning's long position strategy had some flaws, the price quickly stabilized and rebounded after a brief dip, without further breakdowns. Our positioned long trades successfully captured the subsequent rebound phase, achieving ideal returns. Although the strategy is not perfect, it is logically clear and executed properly, reflecting our adherence to a principle of having clear reasoning and evidence in a volatile market. The market has been consolidating recently, with repeated fluctuations, so we suggest that investors adjust their mindset and approach each entry and exit opportunity with caution. In such market conditions, a small mistake could lead to a significant loss. If you are not yet skilled in judging trends or finding the rhythm of long and short positions, it might be wise to refer to professional insights; a single correct choice could become the starting point for changing your trading situation.
Technical analysis: From the current market observation, the price has retreated after a previous high and is overall maintaining a small range of consolidation. After a brief decline at noon, the market gradually fluctuated upward, recovering lost ground. The current short-term pullback is more of a technical adjustment after the increase rather than a trend reversal signal. The rise and fall are relatively equal, and the bullish and bearish forces are temporarily balanced, with the overall market still in a sideways consolidation structure. The trend shows a characteristic of 'turning back every step,' reflecting the market's hesitation before making a directional choice. The four-hour level has shown a bullish doji, indicating limited pullback momentum, making it difficult for bears to continue exerting pressure. The short-term adjustment may be nearing its end, and the market still has the potential for upward breakthroughs. Therefore, from a structural perspective, maintaining a bullish outlook is more reasonable.
Operation suggestion
● Bitcoin (BTC): It is recommended to gradually establish long positions in the range of 87,300 - 87,000, targeting 89,000, with a stop-loss set below 86,500 to control risk.
● Ethereum (ETH): You can enter long positions in the 2,920 - 2,900 area, targeting 3,030, with a stop-loss reference around 2,870.
Warm reminder: The current market is at a critical period of directional choice. It is recommended to operate with a light position and strict stop-loss to avoid emotional trading. Pay close attention to the price's reaction at support and resistance levels, and patiently wait for trend confirmation signals. When the trend is unclear, it's better to miss out than to make a mistake.$BTC
