12.23 BTC, ETH Evening Analysis: The Market is Still in a Downward Structure
What’s going on? On the 17th, I indicated that the market was experiencing a volume contraction while rising, beginning to enter a narrow downward channel. As long as you follow my posts for positioning, you can perfectly take profits and exit, a very precise setup. Currently, the overall direction still hasn’t seen a V-shaped reversal and remains in a volume-driven decline, so don’t hesitate; look to short on rebounds. It will take at least until January for the market to improve, and before that, if ETH doesn’t break 3000 and BTC doesn’t break 91500, we will observe the rebound situation in the next couple of days; new highs will not appear in the short term.
From the 4-hour chart of BTC: Since the 17th, BTC has been operating below the trend line, moving in a downward wedge pattern. As long as the red circle position touches the upper trend line, it will be under pressure to go down. Currently, it is just above the trend line, which is an excellent position to short. Unless it breaks through and stands firm at this position on the 4-hour chart, the lowest support for the trend line is around 94300, which is also a point to go long. This position has rebounded upwards multiple times after piercing through, and if it breaks and stands firmly below, then a significant drop will occur. Thus, this is an important boundary for long and short positions. Looking at the technical indicators, the EMA intersects at 96700 with the highest point of the trend line, forming strong resistance, so short on the rebound.
BTC Evening Strategy: Short at 96300-96800, targeting around 94300!
ETH Evening Strategy: Short at 3380-3395, targeting around 3230!
