Currently, Bitcoin is about to face a daily level correction. Today I emphasize again that the daily chart is currently in the distribution range, and the support below this range is evidently insufficient to support the price to continue rising. There is a high possibility that it will break below the support range and continue downward.
A few days ago, I already told everyone: be bearish, short!
You all know my style - in a volatile market, I have always provided clear directions in advance.
I have never liked ambiguous analysis; if I am not bullish, I am bearish, and I do not consider a neutral view of 'volatile consolidation.' My trading style is very simple: either short or long. As for volatile markets, I usually predict the direction in advance, with a relatively high win rate.
Although I may occasionally be proven wrong by the market, more often than not, the direction of the prediction is clear, and I end up laughing last.
Support testing rule: multiple tests of support will likely be broken.
I said a long time ago: support that is tested multiple times will most likely be broken. Many times we only know this rule but do not deeply understand the reasons behind it. Now I can clearly tell you: this is the 'lifeline' for the main capital selling at high positions!
Every time the price approaches the support level, there will be a brief rebound because the main capital is unwilling to sell their chips at the current price; therefore, they will relieve the market's downward pressure through rebounds until they finally sell off their chips, at which point the support level will be completely broken, leading to a bearish trend.
Current market state: key support level in the volatile range.
Currently, Bitcoin is near the support of the lower boundary in the four-hour chart. Every time this position is tested, it brings a certain degree of rebound, but these rebounds cannot change the overall trend. Once the key support level of 116000 is broken, we can confirm that the bearish trend has officially arrived.
Before this, the continuation of the volatile market still exists, but I believe that once the support is broken, the market will quickly unfold a new bearish trend.
Operational strategy:
In the short term, as long as the price does not break below 116000, it may still maintain a volatile consolidation. However, if it breaks below, the short-term bearish trend will accelerate.
Key point: If the price approaches 115000, you can take a long position first, with a stop-loss set in the 114500-114000 range. (Light position trial error) If it does not break the 115000 support, continue to hold the long position, aiming for the 120000-125000 range.
ETH's short position from yesterday was in the 3750-3800 range. Friends who shorted at this position can adjust their stop-loss.
Overall, the current short-term trend of the market is still bearish, especially after Bitcoin has tested support multiple times, the probability of breaking this time has greatly increased. If everyone has followed my previous analysis and operations, they should have already profited in these volatile ranges.
If it breaks below 115000 next, the market will cultivate a new bearish sentiment about to unfold, be ready to seize the opportunity. Always remember, in a volatile market, do not always think about 'bottom-fishing'; more should be patiently waiting for opportunities after the support is broken, this is the correct operational thinking.
Brothers, the market will prove whether I am right or wrong, keep following me and wait for the explosive bearish trend!
