BTC 4-Hour Chart Analysis
What is the market doing now? This 4-hour chart of BTC shows a lot of ups and downs with no clear direction. But don't worry, I’ll highlight the key points for you:
Support Level 100372: If this level is broken, then be careful, as it might drop further. But if it can hold here and even rebound, then it might be worth trying to buy a little. Resistance Level 111980: If we can break through this level, it might trigger a wave of upward movement. But don't rush to chase the highs; it's better to wait for a pullback confirmation before acting.
Although it’s not directly shown on the chart, changes in trading volume at key positions are crucial. When the price rises, if the trading volume also increases, it indicates real capital is pushing the price up, showing strong momentum. During a pullback, if the trading volume decreases, it suggests there aren't many sellers, and the support level may hold.
RSI Indicator: Currently above 60, indicating a slight overbought situation in the short term. But don’t panic; it hasn’t reached the extreme overbought level of above 70. If the RSI can stay above 60 and even rise, it shows the market is still strong.
MACD Indicator: The MACD line and the signal line are both moving upward, which is a good sign, indicating that the short-term trend may still be upward. But keep an eye on it; if the MACD histogram starts to shrink or shows a bearish divergence, then be cautious.
Within the range of 100372 to 111980, look to sell high and buy low. But be sure to set proper stop-losses and don’t be greedy. You need to look at the larger trends on the daily and weekly charts; if the breakout on the 4-hour chart resonates with the daily trend, then you can increase your position size. The market is currently in a consolidation phase, so don’t rush to make heavy bets.
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