Thursday Midnight Thoughts:
From the current market perspective, in yesterday's market movement, the bullish forces surged powerfully in the evening, with prices climbing all the way and just a step away from the historical high, creating a wave of high market sentiment. However, a sudden turn of events occurred with the news of a sharp decline in the U.S. stock market, akin to a heavy bomb being dropped, instantly opening the floodgates for the bears. The bearish forces quickly retaliated, causing prices to drop significantly and strongly pulling back to the original point, making the market situation tense in an instant.
From the four-hour candlestick chart, the Bollinger Bands show an upward opening pattern, which is usually a signal that the market is in an uptrend. However, the upper band has shown signs of being overbought, indicating that the market has risen too quickly in the short term and needs a correction; the market has now entered a correction phase. It is noteworthy that the support at the middle band remains strong, and every wave of price pullback could be a good opportunity to go long. Investors can closely monitor the price's performance near the middle band, and once a stabilization signal appears, they can consider entering the market to go long and seize the potential upcoming upward trend.
Currently, although the bulls still dominate the overall pattern, the intensity of the breakout at high levels seems somewhat insufficient, and the resistance above is quite strong, undoubtedly adding difficulty to the bulls' further offensive. However, the bulls' advantage remains evident, and subsequent operations are recommended to maintain a strategy focused on buying the dips.
Operational Suggestions:
Bitcoin BTC: 1055 00-10 near 6000, target 1070 00-10 near 8000
