Wednesday Afternoon Thoughts: Latest Market Analysis of Bitcoin and Ethereum
Looking back at the bearish outlook provided at noon, the morning saw a significant surge reaching around the high point of 97,700, followed by a pullback to around 96,100. Friends who followed the strategy should have gained quite a bit. Our trades continuously switched between long and short positions, achieving a winning streak in the morning with a long position capturing 1,028 points before exiting, and then reversing to short at a high position capturing another 1,189 points before exiting, securing two consecutive victories. Currently, the market is in a consolidation phase around 96,500, with the afternoon market mainly moving in a range without much volatility. We will continue to maintain a bearish outlook at high levels in the afternoon.
During the midday session, the bullish momentum of Bitcoin shows slight signs of fatigue, and a downward trend is becoming evident.
The MACD indicator is quietly showing a divergence signal, which acts like a “time bomb”, indicating that the risk of a short-term pullback is rapidly increasing. Currently, the upper level of 98,000 serves as a recent parallel high, and repeated attempts to break through have not succeeded, making the pressure at this level undeniable. Each retracement has been around 93,000, which can now be viewed as a wide trading range. Now that we are once again at high levels, we will continue to treat it as a high short position.
Trading Suggestions:
Short Bitcoin around 97,000, target 95,000.
Short Ethereum around 1,850, target 1,780.
