I took profits on my ETH short position first, and then according to our plan from yesterday, I bought some at the bottom. Bitcoin is being traded as a long above 108,500, and it seems to be showing a decent profit. When the market was crazy, we sold at the top; now that the market is scared, we look for opportunities to make some rebounds.
Some traders asked me, 'Shu Qin, what should I do if my long position above 108,500 didn’t get executed?' I think there’s no need to rush. The market might test the bottom again; recently, the bottom has often been tested twice, and the second test often results in a false breakdown. So you can keep your long position open and see; it might come back to get you on board. For those who have already entered the market with me, you can take profits in batches according to the price levels. If the coin price continues to rebound, we can make some more profits. If there’s a pullback, we can reopen our profit-taking positions and be prepared to respond to various unexpected situations.
In fact, looking at the current market really makes one sigh. The rebound of BTC and ETH last week is indeed just a B wave rebound, the last chance to escape. Many traders have lost themselves in the market, forgetting our original intention of buying the bottom at 4200, which is to take profit on a B wave rebound and then the C wave decline will push Bitcoin to new lows.
ETH is slightly stronger and may not necessarily drop to new lows. Besides its vicinity to 4400, I will also pay attention to its neckline support around 4100. It may not reach that level, but if it does, I will definitely take action. That’s a topic for later; for now, let's finish the current rebound and see if there’s a second test of the bottom to test the current support. We need to be steady and take it step by step.
