Cryptocurrency Scholar: The signal for the bearish trend on 12.20 has appeared! The main force is liquidating long positions! How to find rebound opportunities in the downtrend channel?
The current price of Bitcoin is 96,000, and it is 4:20 AM Beijing time. The main force continues to liquidate long positions, the last long at 99,000 was profitably closed at 102,500. Congratulations to the traders who shorted at 102,500. After breaking below the previous low of 99,000, it is highly likely to retest the upward trend line support at 95,000, which is also the point of long and short exchange, once as a base point. After breaking below, the bearish trend will come, and if the range does not break, then the bulls may make a comeback; it is uncertain, so safety first—ensure survival before considering profits.
The daily K-line has a high of 102,800 and a low of 95,700. The EMA30 trend support point has broken down at 96,950. The next support point focuses on the golden ratio 0.236 support in the 94,400 to 95,000 range, with momentum choosing direction. MACD volume is decreasing, and the DIF and DEA have formed a dead cross at a high position, indeed beginning to spread downwards. After breaking the middle line of the Bollinger Bands at 99,650, it is crashing down towards the lower track. Pay attention to the lower track support point of 93,500 as the second trial point for long positions. The KDJ is spreading downwards, and the short position has not yet ended. Aggressive traders can take profits in batches for shorts.
The four-hour K-line EMA trend indicator is forming a net-like downward diffusion trend. The EMA15 has already broken below the EMA60 indicator at 101,800 and is starting to impact 100,900. Pay attention to the strong pressure at the 100,000 mark. MACD is continuously decreasing downwards, and the DIF and DEA have fallen below the 0 axis, entering a bearish trend. A short trend is inevitable. The Bollinger Bands are expanding outward, increasing the distance between long and short. The lower track support has come down to 97,500, and the K-line has broken below the lower track. The overall trend has started to revolve downwards around the lower track line, forming a downward channel. The strategy is to adjust long positions above 100,000 for trial positions, and do not trade unless there is a correction; trade when there is a correction.
Short-term strategy reference: There are no certainties in the market, so always set a stop-loss; safety is the first priority. The goal is to minimize losses and maximize profits.
Long position trial point 94,500 to 94,000, with a defense point at 93,500, stop-loss at 500 points, target at 96,500 to 97,500, and if broken, look at 98,000 to 99,000.
Short position trial point 99,500 to 100,000, with a defense point at 100,500 to 101,000, stop-loss at 500 points, target at 98,500 to 97,500, and if broken, look at 96,500 to 96,000.
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