Hello everyone, welcome to Wanqian's Trend Analysis. We focus solely on the trends of mainstream coins. Research on both left and right side trading models, as well as understanding medium to long-term and short-term fluctuations, will continue to be updated. Thank you for your attention. In the cryptocurrency space, when some people laugh, others cry; I hope everyone is among the former!
$BTC Overnight, Bitcoin continued to plummet. Currently, the daily chart shows a three-day downward trend. From the highest point, it has dropped nearly 8,000 points. The pullback in the last two days has been quite exaggerated, suggesting that the previous resistance level is also very strong. In medium to long-term trading, you need to manage your positions well and know where your minimum stop-loss is. Looking at the daily lows, your medium to long-term bullish positioning stop-loss should be at least below this level. Yesterday's plunge in Bitcoin first tested and rebounded from the precise level around 1065 that we provided earlier, but it didn't reach our target. Next, pay attention to whether the bottom support can hold effectively.
$ETH This wave of significant decline has brought down the entire cryptocurrency market. Ethereum previously broke through the earlier resistance level at the four-hour level, moving into uncharted territory. The expectation was for sideways consolidation, but the bears exerted strength, driving it down in one go. The current situation still requires calmness; potential participation positions lie at the previous support levels. From a medium to long-term perspective, don’t chase the shorts; the stop-loss you need to carry is too large for an improper risk-reward ratio. It's reasonable to consider short-term longs near the support level close to the previous lows. Looking at the daily chart, this scale hasn't greatly impacted the overall pattern; the bullish trend is still present, the main trend has returned to the upside, and there is a consolidation adjustment. We’ll see if it can rise again later. Recently, pure V-shaped reversals have a very small chance of pulling back quickly again under such conditions. Therefore, after testing the bottom, don’t look at the long term. For medium-term bulls, after testing the bottom, adjustments within the range and a slow rise are a reasonable expectation. This is understandable, right? New friends, please follow along, and feel free to DM me if you have any questions.
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