BTC has reached a critical watershed again

Key price battle at 106500

BTC has formed an M pattern at high levels, and a drop below 100,000 would be considered a valid breakdown, leading to a continued sharp decline. However, this M pattern has now been retracted, and the downward trend has not truly formed yet. Currently, BTC is back around 106,000, which is a crucial level. The daily chart has attempted to break through the 106500-106800 range twice; this range coincides with the key price of the Bollinger Band's middle line. A stable breakthrough would lead to new highs, while failure would result in a significant retreat. The previous two attempts were breakthroughs that failed, followed by sharp declines. Whether this time it can break and stabilize remains to be seen. However, we have already shorted near 105600, and we currently have a small profit of 600 points. If it cannot break through, this small profit will turn into a large loss; if it breaks through, we will gamble on a long position with a breakeven approach!