"BTC, ETH Analysis: Market Trends and Countermeasures on May 4, 2024"
BTC (Bitcoin) key information summary:
1. From the weekly chart, Bitcoin prices are still in an upward trend in a larger time frame (bull market). Even if the price has a short-term correction around $60,000, it is still a bull market overall.
2. On the daily chart, Bitcoin's RSI is about to break through the previous descending resistance line. When similar signals appeared in the past, Bitcoin prices usually rose by 70%-80% in the next 1-4 months.
3. In addition, Bitcoin is facing a breakthrough of a large descending wedge pattern. Once it breaks through $64,000, the next major target is $72,000-74,000.
4. In the short term, the bullish divergence signal on the 2-hour chart is also supporting a price rebound. Coupled with factors such as the decline in the US dollar index, this provides a good opportunity for Bitcoin long positions.
5. In terms of trading strategy: it is recommended to go long, take out 1/20 of the funds for long, and keep a good position to cover the position. Set a stop loss.
6. From the liquidation heat map of the Bitcoin futures market, the liquidity above the price is much higher than the liquidity below, which may boost short squeeze and lead to further price increases.
From the perspective of technical analysis, Bitcoin's medium-term trend is still bullish, and there is potential for further increases in the short term. The current position may be a good opportunity for long positions.
ETH (Ethereum) key information sorting:
1. From the weekly chart, Ethereum is still in an upward trend in the larger time frame (bull market), showing higher lows and higher highs.
2. On the daily chart, Ethereum prices recently rebounded from support near $2,900, showing medium-term bullish momentum.
3. However, in the short term, Ethereum may have some pullback pressure. Key resistance levels are around $3,200-3,250 and $3,350.
4. To confirm the breakthrough in the short term and continue to rise sharply, Ethereum needs to actually break through these resistance levels.
5. On the 8-hour chart, the price of Ethereum rebounded from the oversold area, which may be a short-term support. But this oversold signal itself is not enough to confirm the bottom of the callback.
6. In the trading strategy: it is recommended to go long, take out 1/20 of the funds to go long, and keep a position to cover the position. The price of my position is 2900.
7. The medium-term trend of Ethereum is still bullish, and there may be some fluctuations and callbacks in the short term.But only by breaking through the key resistance level can we ensure
