On August 2nd, due to the unexpected rise in U.S. core PCE inflation data, expectations for a Federal Reserve rate cut cooled, leading to a significant drop in Bitcoin, which is currently reported at approximately 113,500, with a 24-hour decline of about 2%, and a daily low of 112,722.

From a technical indicator perspective, the daily chart has broken below the key support level of 115,000, entering a bearish trend in the short term. If it cannot effectively stabilize above 112,850, it may further test 110,000. It has fallen below the 200 EMA (114,855) and the middle band of the Bollinger Bands, with a MACD death cross indicating a continuous strengthening of bearish momentum.

The first support level below is at 112,850, the second support is at 110,000, and the third strong support is at 107,000.

The first resistance level above is at 115,000, the second resistance is at 116,000, and the third resistance is at 118,000.

Short position operation range suggestion: Short on a rebound to the 115,000-115,600 range with a stop loss at 116,500 and a target of 113,000→111,500. If it rebounds near 116,000, you can add to your position, moving the stop loss up.

Long position operation range suggestion: If it quickly tests near 112,850 and stabilizes, try a small long position with a stop loss at 112,000 and a target of 114,000.

Risk warnings and key nodes:

Macroeconomic events: Focus on the U.S. July PCE price index at 20:30. If inflation exceeds expectations, it may reinforce the Federal Reserve's hawkish stance, negatively impacting the crypto market.

Technical signals: If BTC falls below 112,850, it may trigger stop-loss selling pressure, necessitating caution against accelerated declines.

Capital management: Single trade positions should not exceed 15% of total capital, and total positions should not exceed 30%, with strict stop-loss settings.

Current market sentiment is bearish, with shorts dominating the technical landscape, but caution should be taken for short-term rebounds after overselling. It is recommended to focus on high shorts, trying small shorts on rebounds to key resistance levels, and avoid blindly bottom-fishing until support levels stabilize.