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Bitcoin (BTC) and Ethereum (ETH) market analysis and trading strategies

Bitcoin has seen three consecutive daily declines, closing with a long upper shadow candle, indicating heavy selling pressure above. After breaking below the upward channel (blue trend line) yesterday, it confirmed effective resistance by testing the 7-day moving average, with a maximum drop of over four thousand points, validating the prediction of a potential upper shadow at the end of the month. The short-term support to watch at the daily level is around 103; if broken, it may further drop to around 98. The 4-hour chart shows a fluctuating downward trend, with minor rebounds but still risks of continued declines. For today's operations, closely monitor the resistance zone of 1065-1075 above and the support zone of 1045-1035 below. It is recommended to take light short positions near the resistance level upon a rebound, with strict stop-loss above 1085.

Ethereum saw a pullback after reaching a high, closing with a small bullish candle with a long shadow. After breaking the daily moving average support in the early morning, it rebounded in the morning, but the overall market environment remains weak, with adjustment pressures still present. The 4-hour chart shows that the price faced resistance at 2788 and then retreated, with a long lower shadow formed during the morning's spike. There may be a short-term rebound, but caution is advised for continued downward risks after the rebound. For today's operations, focus on the resistance zone of 2640-2660 above and the support zone of 2550-2530 below. It is recommended to short near the resistance level upon a rebound, and if it breaks above 2660, stop-loss and observe.

Driven by Bitcoin and Ethereum, altcoins have seen significant pullbacks, generally in line with expectations. Most altcoins are at the adjustment bottom after rising in early May, which is a healthy adjustment. However, altcoins that have seen greater pullbacks may continue to test the bottom level where the market surged in early May. Investors should practice risk control and patiently wait for the adjustment to end before considering re-entry. With June approaching, a new round of opportunities is near; it is advised to maintain patience and prepare for potential opportunities.