In a bull market, it's essential to reduce leverage and pay attention to risk management!
From the needle pricks and liquidation data in the past few days, it's evident that a typical bull market is clearing leverage, liquidating high-leverage long positions to set up for the next wave of rally. In a bull market, there are frequent needle pricks, slow rises, and sharp falls that make long positions tremble. It's crucial to lower leverage and positions, and not to fall before dawn arrives!
The long lower shadow formed this morning indicates there will be a demand for a rebound. However, it's uncertain how long this rebound can last, so it's not suitable to chase long positions directly. Only when the resistance area of 98000 to 99800 is broken, and a pullback is confirmed, can we start aiming for above 100,000. If it does not break the morning needle prick low of 94000 today, there will be a rebound to test the resistance. If it breaks, it will be terrifying, as it will need to go down to last week's needle prick low of 90200. If that level breaks, it could reach around 87000, which is the extreme retracement point.
Long positions can only be set up in advance, waiting to catch the needle prick. Recently, there have been continuous needle pricks from the U.S. in the early hours. Bitcoin's daily candle is under pressure from the upper band, continuing to decline and has already broken the middle band. On the 4-hour level, consecutive needle pricks have broken the lower band, and the only way to enter long positions is to wait for the low points of needle pricks, with low long positions set at 95600 and 94700. If the morning needle prick low of 94000 breaks, then long positions cannot be held anymore, with targets looking at 97000 and 98000. The pattern only allows for a target of about 99800, running short positions to avoid needle pricks!
For Ethereum, set low long positions at 3615 and 3545, with targets looking at 3715, 3780, and 3850, and the defensive line at 3500.