The market has been fluctuating and rising for several days; is it stabilizing or a trap for more buying?
Moreover, this rebound is not a reckless rise but a steady and gradual ascent. Such a rebound structure indicates that the probability of a significant market drop has clearly decreased recently. Currently, Bitcoin has stabilized at 90,000, which is a very good signal. A couple of days ago, I took a 10% position to buy the dip, mainly considering that sentiment was extremely oversold, coupled with the recent rebound and stabilization of the U.S. stock market. Last week's prices increasingly resemble a phase low.
Another good signal is that the trends of altcoins have changed. Previously, when the market was crazy, new coins mostly opened high and closed low; over the past two months, it has shifted to opening low and closing low; recently, there seems to be a hint of "opening low and closing high," the most typical being $MON . Let me clarify, I am not suggesting everyone to engage with altcoins; rather, from the performance of altcoins, it can be seen that the atmosphere of the overall market is improving.
Of course, the reversal of the market cannot be completed all at once, which has been my consistent view recently. Therefore, in the next one to two months, I will still adopt a relatively conservative strategy. I have already sold half of the position I bought on the dip last week; if this round of Bitcoin can rebound to 95,000, then I will completely exit this dip-buying position and continue to hold over 50% of my cash.
However, from the current trend, the possibility of continuing to oscillate upwards and making short-term rebounds is still quite high, as it is indeed a steady rhythm.
You can rhythmically place orders to short, in batches. The more perfectly the position is designed, the safer the returns will be.
