🔥Trading Idea of the Day🔥

100K$ is strong resistance zone and will dump price now

Against the background of the release of strong data on the US labor market, a correction has begun in the stock and cryptocurrency markets.

Thoughts & Review: January 8th

The strengthening of the labor market increases the likelihood of a new flick in inflation, which reduces expectations of key rate cuts in 2025.

As a result, this may lead to a decrease in the volume of liquidity in the economic system.

Therefore, the correction turned out to be stronger than expected.

Bitcoin broke through the volume level of $97,400, and at the time of writing the review, the price dropped below the exponential moving average EMA 200 4H.

The dynamic support level in the form of the 50D EMA is located around $94,500.

The descent to this mark coincides with the test of the Balance volume of the lower line of the Bollinger Band indicator, which also increases the chances of the instrument rebounding from this zone.

A price imbalance has formed around $99,000, which is likely to be filled on the rebound.

Hence, a new corrective impulse of Bitcoin is likely.

#ETH. Ethereum went on a correction after Bitcoin, simultaneously breaking through local support at around $3,610.

The asset's decline was stopped by buyers at around $3,310.

To start the recovery, the price needs to return above the trading level of $3,400.

The capitalization of the cryptocurrency market has fallen by 6.2% over the past 24 hours, and the dominance of BTC has increased by 0.5%.

According to CoinGlass, a lot of liquidity has accumulated around $95,000, which was actually affected by the downward movement of Bitcoin. We expect to see market reversal from around $94,500 — $95,000.

If you got your own thoughts upon the market, feel free to share with me 😉👇

@icryptomethod