Share the current market analysis.
Weekly:
Last week formed a bullish candle with a lower shadow, indicating strong support below. It broke the historical high, forming a bullish engulfing pattern (which also indicates that the previous bearish hanging man pattern on the bearish candle is invalid). However, bullish volume has weakened compared to before, and there is still room for an upward move, but the probability of continuing to maintain a range-bound movement is relatively high.
Daily:
The recent high and low points have formed a symmetrical triangle. Following the original trend, if it breaks out, the daily level is in an upward trend, so the probability of an upward breakout is higher. The cross star formed on December 4th with increased volume has been validated. On December 5th, a long candlestick with long upper and lower shadows was formed, indicating bearish signals. Subsequently, bullish volume has gradually weakened (it cannot be ruled out that the trading volume on the weekend is low). Currently, the recent symmetrical triangle support is at 97000-96000. If it breaks down here with increased volume, the range will expand to 103647-90742.
Summary:
The background at the weekly level is in the mid-stage of a bull market, showing a bullish pattern with relatively weak bullish volume, thus increasing the probability of continued range-bound movement. Observe the subsequent candlestick patterns to increase judgment criteria.
At the daily level, it is in an upward trend, but a reversal signal has appeared. Next, closely observe whether the range-bound consolidation here is a continuation pattern or a reversal pattern to increase judgment criteria.
Ethereum, along with altcoins, has maintained a week of rotation. The current price is hovering around 4000. Once it stabilizes here, the probability of reaching historical highs is relatively high.
Bitcoin and most altcoins have been at their current positions for 126 days since the lows. Based on historical cycles, there is a certain probability of a pullback demand. The specific magnitude will vary depending on market conditions, but the pullback is unlikely to reach previous positions; the lows will continue to rise. An upward move after a pullback will be healthier, and the subsequent breakout will be stronger. Of course, if there is no significant pullback, it also indicates that the market is either missing out or remains cautious, and the market will continue to rise amidst skepticism. Thus, it is more inclined to continue holding spot positions. If there are concerns, one can reduce positions slightly, for example, withdrawing the principal when the cryptocurrency has appreciated by 3-5 times, achieving a balance between risk and reward.