25/01/10 BTC tests support again, a descending wedge appears on the 4-hour chart, short-term rebound demand exists!
Yesterday, USDC Treasury destroyed 50 million USDC on the Ethereum chain, and early this morning, USDC Treasury issued 250 million USDC on the Solana chain.
Fidelity has deposited 11,250 ETH (worth 36.9 million USD) into Coinbase through Cumberland. In the past 24 hours, Fidelity has deposited a total of 31,249 ETH (worth 103.55 million USD) into Coinbase through Cumberland.
Russia 'starts selling' the 1,032 bitcoins seized in the Infraud hacker organization case. On December 30, the U.S. Department of Justice was authorized to sell $6.5 billion worth of bitcoins from Silk Road assets. The market only saw the news when it fell to around 94,000, and during a false breakout above 100,000, it rapidly dropped by 11,500 points without any effective rebound. I personally feel there is insider information, and large holders may have exited early, which could be a form of market manipulation.
In the past 7 days, 797,781 people have been liquidated, mostly long positions. Since the 7th, nearly 10 billion RMB worth of liquidations have occurred. Currently, it still belongs to a downward B wave; if it breaks below 90,000, it will start wave C, and false breakdowns cannot be ruled out. From December 10 to mid-month, I continuously reminded that a channel breakdown could lead to targets of 82,000—85,000—88,000, which are also medium to long-term entry opportunities. Currently, it's still around 91,000. Those who are aggressive can still enter a position; continue to add positions if it declines (for spot trading).
Bitcoin
In the early morning, it broke below 91,500, touched 91,200, and slowly rebounded. As of this writing, it is still around 93,400. Currently, we can only say there is short-term rebound demand. I also reminded that BTC has once again shown a descending wedge in the short term, but panic selling among retail investors is still spreading. The short-term technical situation shows oscillation with rebound demand.
The daily line has fallen for 3 consecutive days with a divergence in volume and price (trading volume in the cryptocurrency market may not be real and can only be referenced). It has dropped to the lower Bollinger Band, with a rebound targeted around 96,000. The daily line's converging triangle bottom support might also form a descending channel; we will see if the 90,000 level can hold.
There is a potential descending wedge on the 4-hour chart; we will see the strength of the rebound. The resistance levels above are 94,700—96,000—98,600.
Support:
Resistance:
Ethereum
Still yesterday's viewpoint: if the weekly closing line continues to be engulfing, we cannot rule out a repeat of the previous trend that broke below 2800. 2800 is a strong support; it cannot break below that in any case.
The daily line's lowest point touched 3158 and has returned to where we touched it. Previously, when Bitcoin fell below 100,000, I reminded to reduce positions, and when it broke 97,000, I also reminded to exit. If Ethereum continues to decline, positions can be added above 2800.
Support:
Resistance:
