$ETH Thoughts:
Yesterday's drop in Bitcoin was a bit of an overreaction; perhaps Trump opened a short position. There was no need for such a significant decline, yet Bitcoin seems to be deliberately stirring panic. Is it intentional, or is there another motive?
I believe there is another motive, and we will find out in a few days.
Many medium to long-term investors have been waiting for this drop and have no idea how long they have waited to finally see it; congratulations! However, some investors, out of fear, have sold all their low-priced assets. It's easy to sell, but buying them back will be much harder.
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Speaking with charts: Bitcoin's daily EMA 20, 50, and 200 moving averages have all been broken without leaving any margin, aiming to induce panic and fear to make you relinquish your holdings.
However, the support level marked in the chart has not been breached. As long as the daily closing price does not fall below this support level, all risks remain within a controllable range.
If Bitcoin breaks through 2251 with volume, it’s advisable to chase the long side; if it falls below 2243 with volume, it’s advisable to chase the short side. Pay close attention to changes in volume and set appropriate stop losses.
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On the hourly level, if Bitcoin stabilizes above 2280, look upwards towards 2315-2350. 2280 is the dividing line between bullish and bearish; if it can't break above, it acts as resistance, and if it does, it becomes support.
On the 4-hour level, if it breaks below 2220, look down to 2156-2112; if it breaks 2220, it won’t be fun.
Continuing with the chart: Bitcoin must break above the bearish candle indicated by the white arrow in the 4-hour chart to be considered a trend reversal.
Otherwise, it is merely a rebound, not a reversal. Keep an eye on the opening of the US stock market tonight! There are still more than 2 hours until the US market opens, and it should be fluctuating during this time. Wait for the US market to open before taking action. Meeting adjourned.