At 2 AM, Bitcoin surged to a high near 81200 and began to pull back, hitting a low of around 78550 shortly after 5 AM, followed by a rebound. The rebound produced two higher highs, one at 81808 and another at 81944, before the lowest point retraced to 80467 and started to rebound again. As of now, it is oscillating at the high level of 81200.

From a larger perspective of Bitcoin, BTC remains at a high level without signs of adjustment. Unless it retraces and breaks below 78550 and falls through 78000, a substantial adjustment may occur. Both the weekly and daily levels are very strong, with no signs of a pullback. Although there have been two bearish candles on the 4-hour chart, the volume is small, and it quickly turned into a bullish candle.

From a technical standpoint, it is very strong. However, I want to remind everyone that technical patterns are only what we observe, as they are already formed. Just because it was strong before doesn't guarantee it will remain strong. After all, Bitcoin has risen nearly 15000 points from 67000, which is neither too much nor too little. There is a possibility of a pullback now. The overall market sentiment is strongly bullish; looking at funding rates, there isn’t a coin that isn't positive. The point is not that I am pessimistic about the market continuing to rise, but just to be cautious of a pullback in the short term.

I still recommend focusing on finding support for Bitcoin during pullbacks to add long positions, with stop-losses if it breaks certain levels. For spot traders with heavy positions, consider reducing your holdings by about 30%-50% and wait for more pullbacks to re-enter. Those holding for the long term don’t need to do this, while those trading mid to short-term can adopt this strategy. Long-term holders can just wait for the bull market to unfold.

Ethereum saw a rebound last week from around 2400, reaching a high near 3250, marking a 30% increase. Both the weekly and daily charts appear strong, but the 4-hour chart for Ethereum shows signs of adjustment. Last night, while Bitcoin pushed for new highs, Ethereum didn't follow suit and has struggled to break above previous highs. Currently, the first support for Ethereum on the 4-hour chart is around 3070. In the medium to long term, I am optimistic about Ethereum continuing to rise, but there is a probability of a pullback in the short term. For operations, it is recommended to continue holding spot, while for contracts, focus on finding low entry points for longs, with stop-losses if broken. If it breaks the level, stop-loss, and look for the next support area to find opportunities to enter again.

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