$BTC Afternoon BTC first dipped to around 105,000, then quickly rebounded, touching 106,000, indicating strong buying support in this area. From the 4-hour K-line chart, a 'long lower shadow' reversal pattern has formed, and at the same time, the bearish volume in the MACD indicator is continuously contracting, suggesting that short-term selling pressure is gradually being absorbed, and there are signs of bullish strength attempting to counterattack. The price has now returned to 105,000, which is exactly the 50% retracement level of the morning's decline. If Bitcoin can steadily hold above this level, the next target could be the range of 105,800 - 106,000, which is both the Fibonacci 61.8% retracement level and close to the previous high resistance level.
Looking at the 1-hour level, the MA5 and MA10 in the moving average system are about to form a golden cross, and the KDJ indicator is turning upward from a low position. Various signs indicate that the short-term trend is shifting towards bullish. However, it is important to note that there are many uncertainties in the evening market. The opening of the U.S. stock market and fluctuations in the U.S. dollar index may impact the price of Bitcoin. If market risk appetite rises, BTC may take advantage of this to surge; however, if market sentiment turns pessimistic, it could trigger a price pullback.
Conservative investors: If the price retraces to the range of 104,900 - 105,000 and stabilizes, they may consider increasing their long positions, with the stop-loss set at 104,700, targeting the same as aggressive investors.
Short positions should be approached with caution: Unless the price falls below 104,500 and the hourly closing price is below this level, it is not recommended to short against the trend at this stage.
