Chained Theory Market Analysis 1206: BTC Breaks 100,000, Perfect Bull and Bear Explosion!

BTC has broken the $100,000 mark, and we have witnessed the glorious moment of the big pie (BTC) advancing to six figures for the first time, with the market cheering joyfully! However, this big pie that has just ascended to the six-figure throne brings not only excitement to the market but also showcases the cruelty and bloodiness of the capital market!

First, let's look at the liquidation chart for the past 24 hours. Due to a sudden drop at 6 AM to $90,500, it is estimated that some data hasn't been included in the statistics yet. From the chart, it is evident that the big pie breaking $100,000 triggered FOMO sentiment, ultimately causing the big pie to violently spike downwards, hitting the market's long buyers hard, wiping them out completely!

This is the true face of the market, without any concealment or pretentiousness, a sudden spike up and down, all in one go!

Just yesterday morning, when the market broke $100,000, at its most frantic moment, the community founder promptly issued a clear reduction signal in the muted group:

Making contrarian decisions during the craziest times is extremely challenging and requires a significant ability to perceive market trends and technical expertise. Looking back, the community crazily reminded us of the best bottom-buying opportunity when the big pie was at $49,000 on August 5, during the most panic-stricken times, and firmly reduced positions when the market sentiment was high after breaking $100,000. We believe actions speak louder than words, and there is no need for further elaboration!

Returning to the current market situation, the big pie surged past $100,000, creating a trap for longs and then executing a sharp reversal at the extreme, with the market choosing the most opportune moment to raise the butcher's knife high! Whether this will trigger a major turning point in the market is still unknown, but at least a downward correction on the daily chart is hard to avoid.

First, looking at the daily chart, yesterday's daily candlestick was like the golden staff in the hands of Sun Wukong, sweeping away the monsters and demons in the market! This spike is highly likely to trigger at least one downward correction on the daily chart. Since Trump was elected president, the market has not experienced a proper correction or washout, which is unhealthy. The bullish force will eventually come to an end, and through violent washouts at high positions, then oscillation to digest, and solidify the foundation, the big pie can create even higher heights in the future.

Now looking at the 4-hour chart, it is clear that the surge past $100,000 yesterday morning did not result in increased volume, which is a classic trap for longs: three buys turn into one sell! Moreover, the yellow-white line and green bars are both diverging. This morning's spike reached the lower edge of the new 4-hour yellow central zone.