8.25 Afternoon Thoughts and Suggestions
Around noon, Aunt Big Cake's idea did not directly take shape until the afternoon when she again captured significant points. Since she chose to follow the thought, let's heed Uncle Zhang's advice and manage the stop loss well. In this skewed market trend, the rebound is the 'bait' thrown by the market. When the mid-track is pressed down and the volume shrinks during the rebound, don't rush to fear missing out; accurately grasping this weak rebound's 'false fire' is a good time to short, allowing the downward inertia to bite down on the profits for you.
In the hourly level for Bitcoin, the middle band of the Bollinger Bands continues to decline, forming mid-term resistance. The price has accelerated its decline after a five consecutive bearish days, now hovering close to the lower band seeking support. During the decline phase, the trading volume has significantly increased, but it shrinks rapidly during rebounds, highlighting that the market is still under pressure and the buyers are weak. Although the lower band temporarily supports the price, the overall downward divergence of the Bollinger Bands remains unchanged, and the mid-band's resistance continues to suppress the rebound height. If the lower band support at 110500 is lost, the correction space may open further, likely probing below 110000. In this short-term skewed atmosphere, caution is advised regarding the risk of further declines when the rebound is weak. Manage your stop loss well and don’t be too hesitant.
Suggestions:
Bitcoin can be shorted around 112000, targeting below 110000!
Ethereum can be shorted around 4660, targeting near 4500
