Market Review Analysis
The BTC market was relatively strong yesterday, giving many people hope. It closed with a solid bullish candle, and today it surged to the previous resistance zone of 106000-108000. A sharp drop occurred in this process, highlighting ETH's weakness. Although yesterday ETH closed with a solid bullish candle, it was not as strong as BTC; it merely made up for the losses from the previous day without stabilizing around the 2600 mark, only touching it briefly. Today, it began to plummet, hitting around 2300. As mentioned in last Friday's morning review, if it breaks 2420, it would lead to a significant drop. However, BTC's strength allowed the market to recover a bit, quickly bouncing back. The market shouldn't react too dramatically; it’s still not time to jump in. As previously mentioned, the process after we sold at the peak is tough; any minor increase raises fears of missing out. We must avoid having any empty positions. Any minor rebound feels like the market is recovering. If we can't control this mindset, we'll end up losing everything, similar to the bottom-fishing mentality. People become accustomed to being trapped; they know not to cut losses, but they also need the patience to wait with empty positions. It’s not about preferring to be trapped rather than missing out; if the market keeps falling, they’ll wish they had missed out instead of being trapped. There are no guarantees in crypto; every step needs to be planned. There are pros and cons—what if you miss out? If it drops significantly and you're in cash, how will you allocate your positions? We should have a strategy before making decisions. Currently, our cash position is about waiting and not being influenced by market emotions. Many people likely became optimistic again yesterday; this group tends to sell at the bottom, become bullish when prices rise, and turn bearish with minor declines. Now they’re bullish again, but they are not steadfast. I have been waiting since I sold out, focusing on the upcoming time frame of the 21-23 range.
Today's and this week's highlights
BTC's market has once again reached the resistance zone at the highs and quickly fell back, but the market isn't very weak. BTC's current price indicates little selling pressure. The previous highs are indeed a resistance level, but the current price represents a new breakout for the market. What everyone hopes for is reaching 110,000; however, the market doesn't allow for any dramatic rises. Even if BTC can hit 110,000, it would only be a few thousand points of fluctuation, which is not particularly useful. Therefore, we must wait for BTC to fill the gap. The first support level is around 100,000, and we need to watch when this level will be broken. It is expected that this could happen in the next few days, around the 21st to 23rd. The gap is between 92,000 and 96,000; we should focus on the range of 90,000 to 92,000 moving forward.
The weakness of the ETH market is undeniable. Today, it dipped to around 2300, showing a sharp rebound. This drop directly lost over ten points. Based on the current intraday support position, we can pay attention to the support level around 2380. If this level breaks, the market will continue to touch the defensive support position in the range of 2160-2230, which is also critical. Currently, the intraday support at 2380 should be monitored closely, with additional attention to the nearby low points of 2300-2280-2320. The upper resistance was clearly mentioned last week, around 2600-2650. On Friday, it peaked at around 2650 and then fell back. Yesterday's rebound approached 2600, and today it directly dropped sharply. Therefore, the current resistance is also expected to decline. Based on the current daily resistance levels, focus on the range of 2480-2520. For the intraday resistance level, slightly monitor near 2460.