8.26 Early Morning Bitcoin and Ethereum Market Analysis and Trading Recommendations
Recently, the Bitcoin market trend has been closely linked to the upcoming U.S. economic data, including preliminary GDP and core personal consumption expenditure inflation. If the data continues to show a slowdown in the U.S. economy and easing inflation, the Federal Reserve will have more substantial reasons to initiate a rate cut cycle. This situation will create a liquidity-rich environment, which is favorable for cryptocurrencies. However, the current data uncertainty is quite high, so investors maintain a defensive posture, which has also led to an extension of short-term corrections.
From the current market perspective, on the hourly chart, when the price stops falling and rebounds, the MACD indicator forms a golden cross at a low position, with green momentum bars gradually decreasing to turn positive, indicating that there is short-term rebound momentum. However, it is important to note that after the price rises to around 112900, it encounters certain resistance. The KDJ indicator has entered the overbought zone, with K and D values exceeding 100. Attention should be paid to the resistance level around 113000-113500. If it cannot effectively break through, it may fall back to test the support range of 111500-111000. In the early morning, Shengdong suggests focusing on short positions.
In the early morning, Bitcoin can enter a short position at 112800, targeting around 111500.
In the early morning, Ethereum can enter a short position at 4610, targeting around 4520.
