Currently, the market shows a price pullback after a surge, but in the end, it can always close at a high. This kind of trend is simply a normal adjustment after a significant rise, so don’t panic just because of a bearish candlestick.
New traders often make this mistake; when the price slightly retraces, they think the trend is about to reverse, and they rush to short, only to find that the pullback lasts just a couple of days before prices rise again, leaving them stuck in their positions.
What’s even more amusing is that some people spend all day guessing the top, constantly saying, "It’s risen so much, it should drop now." The market doesn’t care about your little calculations; fighting against the trend before it has run its course is just giving away money. Look at the four-hour chart, and you’ll understand that the harder this pullback hits, the stronger the support below, indicating that the main players are clearly washing out positions to create space for future rises.
When it comes to specific operations, remember two points: 1. Don’t go against the trend and try to pick a top; as long as there are no signals of a top on the daily chart, maintain a bullish outlook; 2. Every pullback is an opportunity to enter the market, and you should pay close attention to key support levels, such as previous highs or the Fibonacci 38.2% level. If it stabilizes, go ahead and enter long positions. Remember, in a bull market, pullbacks are just paper tigers; don’t get shaken out of your position, that’s the real deal.
Trading suggestions
For Bitcoin, go long around 1035-1030, targeting near 1050.
For Ethereum, go long around 2580-2560, targeting near 2700.
