On December 11, market trend interpretation and operational ideas

$ETH and $BTC have shown a downward adjustment trend. Yesterday it was indicated that once the previous low of 3920 is broken, the adjustment will continue. By 4 AM, there was also a sharp drop in the market.

Regarding the current trend, I have repeatedly pointed out:

1. $BTC meets all the conditions for a medium-term reversal. We now only need to pay attention to whether the corrective situation has turned into a reversal.

2. After the major asset forms a reversal, other varieties cannot reach new highs. Of course, conversely, if it is just a pullback, other varieties still have a chance for another surge to new highs.

Recently, the market has seen two consecutive sharp declines, reminding us that we need to be well-protected when making rebounds; otherwise, it could end badly. The market started running slowly downward yesterday morning and finally experienced a sharp drop, which is somewhat different from the situation on the morning of the 6th. Currently, it has been assessed that the daily chart has entered an adjustment phase. The last significant trend was still in the rising channel, so the probability of a short-term shake and rebound to reach a new high is low. After yesterday's decline, it is expected that there will be some rebound during the day today, with resistance around the 3870 range. The rebound may continue after adjustment, and the situation is quite volatile, so remember to have adequate protection.