Evening Thoughts on September 5.8
Based on the current market situation, the four-hour level shows the market rising with consecutive bullish candles until hitting the upper band of the Bollinger Bands, where bullish momentum has significantly diminished. The price has not sustained a breakthrough upward, indicating strong resistance at the 100,000 mark. From the one-hour level, after experiencing four consecutive bullish candles, the market began to pull back. The KDJ indicator's three lines have formed a death cross and are diverging downward, suggesting that the overall trend is gradually leaning towards bearish.
Currently, it doesn't seem easy to break through the 100,000 mark. Even if it does rise this time, it is likely to just touch it before coming down again. This resistance level won't be particularly strong. The good news is that some liquidity has been siphoned off, which generally leads to a downward liquidation of overbought positions. The bad news is that the resistance is too stubborn, and excessive accumulation has made it difficult for the market to pull back. There is a high probability that a liquidation will occur above, and the current position is also at a relatively high level, so the strategy should focus on short positions!
Bitcoin: Short around 99,800, targeting 97,500
Ethereum: Short around 1,980, targeting 1,920
