What to focus on after the release of the Federal Reserve minutes? How to operate in the market tonight
First, let's look at the suggestions
Aggressive traders: Short on the rise or chase shorts after a break below key support levels. Given the potential selling pressure from whales and widespread bearish sentiment, any feeble rebound could be an opportunity to establish short positions.
Key levels: Consider lightly shorting when prices face resistance in the $115,000 - $116,000 range, with a stop loss set above the psychological resistance level of $118,000. Alternatively, if prices effectively break below and stabilize under $113,000, consider following the trend with short positions.
Cautious traders: The current market technicals are weak and facing significant macro events, with extremely high uncertainty. It is recommended to stay on the sidelines and wait for the meeting minutes to be released and market direction to become clear before entering.
Flat position holders: Focus on the Federal Reserve meeting minutes released early this morning, and make decisions after the macro signals are clear. Patience is the best strategy before the direction becomes apparent.
$BNB $YZY
Short-term Bitcoin trend
Current price: $113,449.65 (↓0.1%)
Market structure: Technicals are weak, with the spot market dominated by sellers. Although retail trading frequency in the spot market has surged, participation from retail in the futures market is sluggish, indicating cautious leveraged speculative sentiment.
Liquidation warning: The key resistance above is at $118,000, which is a former key support turning point. If the price effectively breaks the $113,000 support, it may trigger a new round of chain liquidations.
Liquidation overview: The open interest has decreased by 0.55% in the past 24 hours, combined with weak price fluctuations, indicating that bulls are closing their positions, increasing downward pressure on the market, with bears temporarily dominating.
Operation window
Strong signal to reduce positions: The whale ratio on exchanges has reached 0.98, indicating strong potential selling motives from whales; the MVRV ratio continues to decline, with the market's profit space shrinking, and overall valuation being adjusted downward.
Bearish funding situation: Funding rates remain low at 0.009, indicating that bullish leveraged sentiment is weak. The open interest has decreased, further confirming that funds are flowing out of the derivatives market, and trend momentum is weakening.
