Look at the big picture

The hourly quarterly compression is about 900 points; after the range shrinks, the resistance at 108,500 I mentioned earlier has become invalid. Currently, the range is between 117,200 and 118,100. Continued range contraction will activate the breakout effect on the technical side.

After experiencing an hour of intraday oscillation and range divergence, the RSI index has been repaired. Currently, the four-hour range divergence is also repaired, but the RSI still shows overbought conditions and needs a pullback to repair the index.

Considering the consecutive breakthroughs on Thursday and Friday touching the short-term overbought and divergence, after the one-hour range contraction, I believe there is a higher probability of a pullback to further deeply repair the four-hour and daily trends.

The key support adjustment currently references around 114,500. This position will move to around 115,000 early this morning.

If the price drops without breaking this four-hour key support, it is basically seen as a reasonable pullback repair trend. A proper pullback can lead to better subsequent rises.

Moreover, if the weekend pullback does not damage the strong four-hour trend, there is a high probability of another breakthrough next week. The key turnover position I believe is in the range of 121,000 to 122,000.

If the four-hour range breaks the key support over the weekend and the price continues to break below the daily support at 113,000, then the pullback will change from a four-hour adjustment to a daily-level adjustment. The probability of breaking a new high next week will be greatly reduced, which may mean that the short-term will have to experience a period of high-level oscillation and turnover.

As the old saying goes, liquidity is lower on weekends; be aware of volatility risk! If you can avoid trading, then avoid it! #BTC再创新高