In-depth Analysis of Bitcoin Market Trends
The current price level of Bitcoin has reached a dense area of prior trapped positions, where a large number of chips have settled, forming a strong resistance level. Without significant positive news or incomplete adjustments, it is difficult to achieve an effective breakthrough in the short term.
From the perspective of Fibonacci technical analysis, Bitcoin's current rebound has approached the critical point of 0.618. Combining technical pressure with market sentiment, the likelihood of hitting the $100,000 mark in the short term is relatively low. Additionally, the Token2049 conference in Dubai is approaching, and based on the market rule of "falling during conferences," short-term operations need to be cautious.
The 120-day moving average is an important reference indicator, currently located at $91,700.
Bitcoin is maintaining above the 120-day moving average in the short term, with a relatively stable trend; however, if it falls below this key support level, market panic may be triggered, leading to a wave of selling.
In terms of operational strategy, it is recommended to take profits in batches during Bitcoin's upward movement to avoid chasing highs;
When the price is in a consolidation period, attention can be shifted to the altcoin market. It is particularly emphasized that if Bitcoin falls below the 120-day moving average, it is essential to reduce positions in a timely manner to avoid risks.
