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Over the weekend, a black swan event suddenly occurred, and the risk aversion sentiment was quickly ignited. On Monday, the market opened gap up directly, and the bulls proved their strength with action.
But I think, the news is just surface level; the key is whether the technical structure is aligned. On the 1-hour chart, last week's repeated bottoming established 4273 as a clear top, and now a standard head and shoulders bottom pattern is forming— the right shoulder is accelerating under the boost of news, and this rhythm is quite solid.
As the news gradually cools down, the next step is a pure technical breakout. Since the structure has been fully built, it’s better to follow this risk aversion trend and continue to ride the wave.
Here's the plan: build long positions in batches around 4380, set a stop at 4365, with the first target at 4410. Once a clear breakout occurs, look for above 4430. The rebound momentum of Bitcoin, XRP, and SOL is quite good this round. At the start of the new year, we need to grasp the rhythm and make a strong start!