The crypto market is dropping after a big rise.
The short-term trend is bearish, with the price declining from recent highs. However, the proximity to support levels ($94,000 and $93,514.10) and oversold indicators (lower Bollinger Band, potential RSI below 30) suggest a possible reversal. The evidence leans toward a bearish continuation unless buying pressure increases, but a short-term bounce seems likely if support holds.
Buy Signal: Look for a bullish reversal pattern (e.g., hammer, engulfing) near support levels ($94,000 or $93,500). A break above the purple moving average (around $94,500) with higher volume would be a strong confirmation. RSI showing a divergence or bouncing off oversold levels could also signal a buy.
Sell Signal: For short trades, wait for a break below $93,500 with strong selling volume and confirmation from indicators like MACD showing increased bearish momentum. However, given the oversold conditions, short trades carry higher risk of reversal.
