Morning Review: Bitcoin last night was affected by FUD regarding Tether, causing the market to spike down to critical levels. Will the market turn bearish?#BTC☀ #BTC突破7万大关
Bitcoin has fallen to a critical level, which is around the previous high of 66500. We can see that last night, due to a news report about a U.S. investigation into Tether, the market rapidly declined. Everyone knows Tether's stablecoin position in the crypto space. Tether provides liquidity and daily active users for the entire crypto sector. Its strong financial strength supports the whole crypto market and is undoubtedly the cornerstone of the crypto space. Therefore, when there is FUD about Tether, the market reacts with a sharp decline.
In the smaller 4H cycle, we can see that last night's spike did not break the previous low and did not effectively break critical levels. Therefore, Lin Mu Yang's viewpoint is that the market will continue to be bullish. This spike caused by FUD will not last too long. First, we should pay attention to the short-term Fibonacci retracement levels, currently at 0.382 (65480). I do not believe this level will be broken. Small-level support is not one of our important decision-making bases, as it is not a critical level.
However, there is currently a strong FUD sentiment in the market, so we need to pay attention to whether the larger cycles, specifically the daily and weekly charts, will break critical support levels. We can see that in the larger cycles, Bitcoin's lows are continuously rising, and even last night's downward spike did not create a new low, indicating that bullish momentum has not completely faded.
ETH is currently performing very weakly, in a triangular consolidation area in the larger cycle, and has not been able to break through the previous highs. For Ethereum to enter a strong trend, it must break out of the triangular area, approximately at the 2800 mark, which is a strong resistance level. If it cannot break through here, it will remain weak!
Today's Strategy: Place a buy order near the 66092 support level on Bitcoin's 4H chart; stop-loss levels will be notified one by one!
ETH: Both the larger and smaller cycles have broken down, making the entry timing unfavorable, focus on short positions!
In this volatile trend, we try to reduce holding time or decrease the number of trades. In yesterday's article, Shepherd also repeatedly reminded, including notifying our exclusive group to pause trading after taking profits on Bitcoin. The core point is not how many trades you make, but your overall win rate. Aimlessly trading will inevitably lead to a zero balance, so I remind everyone again that if you cannot understand basic common sense and rely entirely on luck, a zero balance is just a matter of time!
