Evening Thoughts on 7.22

The midday Bitcoin touched the bottom and rebounded, facing pressure around 118,000, then dipped to stop the decline around 116,500, currently consolidating near 117,500; Ethereum retraced to 3,650 and reclaimed the 3,700 mark.

The market is still in consolidation; Ethereum has been strong recently, but indicators need correction, alternating gains and losses is healthier. From a technical perspective, Bitcoin has a double bottom support at 116,500-116,800 and strong resistance at 118,600-119,000; Ethereum has support at 3,600-3,650 and pressure at 3,800-3,850. In terms of indicators, Bitcoin's 4-hour MACD bullish momentum is recovering, and Ethereum's 1-hour KDJ has a golden cross. Tonight, we need to pay attention to the U.S. initial jobless claims and perpetual contract funding rates, with intense long and short battles.

Bitcoin trading strategy: Buy on pullback near 117,350-118,250, targeting 120,000.

Ethereum trading strategy: Buy on pullback near 3,615-3,640, targeting 3,750.