🚨 Bitcoin bounces back slightly after a plunge: Can this trend continue?

Bitcoin recently pulled off a “carp jump” again—its price once dropped below $116,000, wiping out almost all of the previous “overbought banana price” (you know, it means too much excitement). 🍌💸

However, don't be too pessimistic; the market always has its ups and downs. Just when everyone was ready to go all-in on short positions, BTC suddenly rebounded; it now seems to have found some “psychological support” around $118,000. Coincidentally, this position happens to be right above that previous “small triangular flag structure,” so it can be considered as an old battlefield.

🔍 What does the technical analysis say?

Now the question arises: Is this rebound a buildup for takeoff 🚀, or is it just a last-ditch effort? (Is it a “return of the king” or just a “flash in the pan”?)

The short-term stochastic RSI indicator (a small tool used to assess market overbought or oversold conditions) has not given a clear answer yet. It’s a bit like an “electrocardiogram,” currently in a state of indecision: either it continues to push up to the peak, confirming that this wave is for real; or it fails the rebound, with the RSI dropping again, leading the market to continue its decline, and we’ll have to brace ourselves for reality.

📉 What’s the next step?

Currently, the market is in an “awkward zone”: both bulls and bears are hesitant to be too aggressive. Those wanting to go long are afraid of a false rebound, getting stuck if they jump in; those wanting to go short are worried about a sudden surge, not having time to close positions before the liquidation alarm goes off.

🎯 If you are a short-term trader, you can focus on whether this support level around $118,000 can hold. If it doesn’t, watch if $116,000 can defend again. Conversely, if the price can firmly stay above $120,000, there might still be hope!