Callback hitting the bottom, a new round of strong rebound is imminent

Another new week is approaching. Although Bitcoin faced resistance and made a small pullback after hitting a new high last week, it successfully completed a bullish monthly closing. The strong rebound behavior at the key support level of short-term bulls and bears indicates that the medium-term trend still has continuity. Therefore, the subsequent small pullback can be seen as the lower part of a new monthly K upward movement, and it will continue to challenge new highs, even above 75,000, within the month.

There may still be some people in a daze regarding this Bitcoin rally, believing that there is currently no new narrative or clear positive developments, and that the price increase is unreasonable, thus a pullback is inevitable. The resistance at the previous high and the weak behavior of Ethereum have made those holding such views even more resolute. However, I want to express to everyone that the more you waver now, the more you need to be firm. Historical cyclical rises indicate that a pullback is merely an opportunity for reallocation.

On the macro front, I have already explained sufficiently in previous articles. Whether it’s further interest rate cuts, cyclical rises, or the upcoming U.S. elections, any of the aforementioned events can trigger a cyclical uptrend. Now, with multiple favorable factors becoming clear, it would not be rational to remain bearish.

Looking at the market, firstly, Bitcoin's 2-hour trend. After reaching the 67,500 level over the weekend, it formed a TD9 and rebounded. Currently, although it is under pressure from the MA120 moving average, indicators like MACD have formed a golden cross, and the lower Bollinger Band shows signs of turning upward. While the daily chart still presents a downward structure, the morning's rebound successfully found support at the middle Bollinger Band at 8 AM today. This behavior indicates that before tomorrow's elections, there are no further conditions for bearishness in the market, and the sentiment has clearly turned bullish, so it's best to act early.

For the intraday setup, prioritize watching for long positions around the 68,000-68,500 area on Bitcoin, with a short-term target near 70,000, while reserving a bottom position for above 30,000. On Ethereum, focus on establishing long positions around 2,455-2,435, with short-term targets near 2,500 and medium to long-term targets above 2,600.