The recent movement of Bitcoin has been quite tumultuous. It first dropped from 116900 all the way down to 115400, clearly shaking out those uncertain retail investors. Then it bounced back around 116700, leading people to think a reversal was coming, but it couldn't hold and plummeted directly to 114300, before quickly bouncing back to around 115200 — this operation is undoubtedly a typical oscillation and shakeout strategy.
Now both bulls and bears are fighting fiercely: there is too much trapped selling pressure above, and every time there is a slight rebound, someone is there to dump and take profits; but there’s also support below, as the rebound from 114300 shows that large funds are propping up the market, unwilling to let it crash directly. The price is currently fluctuating around 11500, and the short-term trend is still unclear, so it’s a sideways market for now.
Key levels to watch closely: the support below is at 11400-11450. If this level is not held, it’s highly likely we’ll test the 11250-11300 range; the resistance above is at 11650-11700, and if it can't hold here, then the high point of this rebound is basically set.
In terms of operation, I personally suggest different strategies:
For the conservative traders, wait for sideways confirmation. As long as 11450 holds, consider a light position to try going long, targeting 11650-11700, with a stop loss set below 11400, don’t be greedy.
For the aggressive traders, you can buy high and sell low in the 11500-11520 range for short-term trades, but you must strictly set stop losses; holding positions in a volatile market is the worst approach.
If the market pushes up to 11650 again and shows weakness, you can try a light short position, targeting 11450, but don’t go heavy on a gamble.
Currently, Bitcoin is in a phase of oscillation with support below and resistance above, likely remaining sideways in the short term. However, if it breaks below 11400, there may be a rapid decline. Remember, in a volatile market, it's all about cutting losses, and you must control your position size; don't think you can get rich quick, being cautious is always wise!
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