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After the Bitcoin price fell to a low of around 91500 in the afternoon, it found support and stabilized. This fluctuation broke the dip point from last night, quickly triggering a rebound from long positions. As of now, the price has recovered to around 92700, maintaining a fluctuating pattern. In contrast, Ether continued its weak performance, with the price dipping all the way down to a low of 1721 before stopping the decline, then rebounding to around 1750 and fluctuating.
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From the 4-hour technical chart, the market trend is clear and traceable. The Bollinger Bands are exhibiting an upward divergence, and after the K-line successfully broke through the upper band, a bearish K-line pullback occurred, which is a typical technical correction during an upward process. In the short term, long positions remain strong, and overall, the bulls dominate the pattern. It is worth noting that as the bearish trading volume continues to decline, signs of an upward turn in the MACD indicator are becoming increasingly evident. Considering the fundamental factors in the evening, it is expected that the market will first experience a short-term upward fluctuation, followed by a pullback, with the overall trend still focused on fluctuations.
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From the perspective of technical structure, the short-term market has officially entered the stage of correction and adjustment. The sharp rally from the previous breakout released sufficient momentum, but it was not accompanied by a corresponding correction process, so a correction at the end of the week is a reasonable phenomenon. In addition, on the daily chart, there is a negative line for the first time since the three consecutive yangs rose, but this is more of a signal of a pause in the market, not a sign of turning to bears, and there is a high probability that it will enter a range shock mode. It should be emphasized that this adjustment will not change the bullish trend in the short and medium term, although the adjustment cycle and space have expanded, but the overall bottoming and rebounding structure is still solid. As the law of the market shows, there is limited room to short after a sharp rally, and this is exactly the case in the current market. Based on the above analysis, the evening trading strategy recommends going long on dips in the range to grasp the rhythm of the market.
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