Recently, some new friends in the circle have been asking me "how did you discover xxx" and "how did you come to xxx conclusion". I found that many new friends lack a set of methods to observe the market and are at the stage of following the crowd, especially in the Chinese circle where there are many KOLs who output opinions and emotions, which are particularly exciting.
I recorded what I talked about with my friend, hoping it will be of some help to everyone.
This series is divided into two parts. The first part is "How to observe what is happening in the secondary market" and the second part is "How to observe what is happening on the chain". This series of content does not contain any secret code to wealth. It only provides a perspective to observe the market. As for how to interpret the data, it depends on each individual.
The current scenario is 1️⃣, but the market is unstable and may fall below the range. $WIF
biubiupump
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5.5 Reading $WIF The antenna is bullish, macd breaks through the zero axis, and 8u is seen in the long term.
4h script Script 1 (50%): callback to 2.86~3u, and then continue to initiate a breakthrough of 3.5 Script 2 (30%): There are two pressure obs above, and a large amount of breakthroughs in 3.5u can be pursued after the callback stabilizes, and the short-term target is the previous high Script 3 (20%): 3.2~3.5u narrow range fluctuations, and then choose the direction
$BTC There is no breakout of the daily downward trend, so I will just guess the subsequent trend. Remember, the market is not predicted, but developed.
5.5 Reading $WIF The antenna is bullish, macd breaks through the zero axis, and 8u is seen in the long term.
4h script Script 1 (50%): callback to 2.86~3u, and then continue to initiate a breakthrough of 3.5 Script 2 (30%): There are two pressure obs above, and a large amount of breakthroughs in 3.5u can be pursued after the callback stabilizes, and the short-term target is the previous high Script 3 (20%): 3.2~3.5u narrow range fluctuations, and then choose the direction
Why do I think BTC still needs to be shorted at highs in the short term? At the 4h level, Vegas + moving average + MACD are still in a bearish trend, and there is a need for a short-term correction after the decline. At the 1h level, MACD has a weak bullish trend, and the K-line has more upper shadows, indicating that the bearish force is still very strong.
From the principle of following the big (4h) and going against the small (1h), we can wait for 1h to step back to the previous resistance level + Vegas fast channel, which is around 60500, and look for a reversal signal to go short.
If a big positive line appears at a key position, then continue to observe the next resistance position at the 1h level, the situation of 62000$BTC