Market Review and Analysis
BTC's performance yesterday was relatively strong, closing with a solid bullish candle, giving the market some confidence. Today it continues to push up, directly touching the previous resistance range of 106000-108000, but then quickly fell back, forming a structure of rising and then falling.
ETH's performance continues to be relatively weak. Although it closed with a solid bullish candle yesterday, the strength is far less than BTC, only recovering the previous day's losses, and it has not stabilized at the 2600 level, just touching it before falling back. Today's market directly retreated, hitting a low of around 2300. It was previously indicated in last Friday's early review that if ETH breaks below 2420, it will face the risk of a rapid pullback. Although BTC briefly led to a recovery in market sentiment during this process, it is still necessary to remain calm overall.
The market is still in a phase of not fully stabilizing recently. It has been emphasized that after we completely exited at the top, we are facing a period of psychological torment: worrying about missing out during the rise and rushing to enter the market as soon as there is a slight rebound, which easily leads to repeated losses.
To overcome this inertia of 'not being able to be in cash', what is needed is patience in waiting and a clear strategy. There is no 'knowing in advance' in the crypto space; every step requires weighing the pros and cons and formulating a response plan. The current cash strategy will continue to avoid emotional trading.
Highlights for today and this week
BTC is currently touching the previous high resistance area again, then quickly fell back, but the overall trend is not weak. The current price is close to the previous high, and the selling pressure is relatively limited; although there is resistance, from a structural perspective, it can also be seen as a phased breakthrough. The market expects BTC to test $110,000, but even so, the upside space is not large, and one must be wary of a possible short-term inducement followed by a pullback.
Key attention should be paid to whether BTC will pull back recently to fill the gap, with the first line of support focusing on the 100000 level. Once it falls below this, the gap filling may begin. The key time window to watch is from May 21 to 23, and it is expected to usher in a directional choice. The gap area is 92000-96000, with a focus on the support performance in the 90000-92000 range.
ETH Trend Analysis
ETH continues to show weakness, today dropping to around 2300, with a pin bar rebound. Intraday support focuses on the 2380 level; if broken, it is expected to further test the 2300-2280 area; further support below focuses on the 2160-2230 range, which is a critical defensive level.
In terms of upper resistance, the previously focused range of 2600-2650 is still valid. Last Friday, it surged to 2650 and then retreated; yesterday it rebounded to 2600 and then fell back, and today it quickly dropped, indicating that this range still has significant pressure. The current daily resistance can focus on the 2480-2520 area, while the intraday resistance looks at around 2460.
