12.28 Daily Cryptocurrency Commentary
Yesterday we exited our short position near 3320, but just now we re-entered a position around 3350. Many analysts are bullish here, so we decided to take a short position.
From a sentiment perspective, 3400 is a significant watershed, but unfortunately, we didn't secure a short position above 3400. So we had to settle for entering short around 3350.
The support for Bitcoin remains around 92000, and continued adjustment may break down and touch the 88888 level, with many altcoins possibly facing another significant drop.
In the short term, we need to pay attention to whether Bitcoin can stabilize above 98888 before considering going long; if it cannot stabilize, we will maintain a shift from long to short positions, with the current resistance level around 95700, and we will further monitor whether it can break through this resistance level.
Lastly, regarding Wld, we still believe that the probability of a false breakdown is higher; we can only consider going short if it falls below the limited support of 2.05. Otherwise, the priority remains to short ETH. The probability of a reversal next month is still quite high.