Hello everyone, I am Dashan, focusing on the trend analysis of mainstream currencies and updating market analysis every day. When some people laugh in the currency circle, others will cry. I hope everyone is the former!
The overall trend remains unchanged, and there is no downward momentum. With the news of the election this year, the Fed's series of actions, and the announcement of interest rate cuts and hikes, and the full recovery of the economy after the masks, I believe that prices will go even higher. Let us all wait and see. For my fans and friends, I also wish everyone can achieve their goals in the circle!
Regarding Bitcoin, I believe you have gained something in the past two days. I've mentioned the support zone at 920 many times, so I want to emphasize again. I often refer to 92,000, but it's not just this one point. If you look at the support and resistance levels I've drawn for you, they are generally areas. Many novice investors may not understand this, so the concept of support and resistance must be understood as an area. This area could be a wide range, like 910-930, not just a precise point. Let's review the history; for example, after last year's strong rally, we had already established this support zone. Looking at the hourly chart, starting from November 27, every time it dips to this support level, it's an opportunity to go long. The previous price increases were quite significant, bouncing back after testing. The positions from yesterday and the day before are all short-term rebounds, of course, we can't rule out the possibility of a direct surge from this position. Therefore, I want to say that once you find these key positions, what you need to do is, if it’s a support level, you should go in; if it’s a resistance level, you should short it. There are no other choices. Once you find the key positions, your trading is already half successful. The other half depends on execution. If you don't have it, everything is empty talk. The previous part is called a trading plan; you need to plan your trade and then execute it. Now looking at the current Bitcoin, if you went long around 920 or placed orders, you are still in profit. Be patient and hold on a bit longer, or if you think it will continue to consolidate in the short term, it's fine to take short-term profits. But after exiting, don't rush; you need to wait for it to come down again before re-entering. Some people exit and then start making random trades, giving back the profits.
Looking at Bitcoin, it is still in a consolidation phase. I've marked this position for you. After the consolidation range, on the daily chart level, the previous 50% retracement level is being tested again. I highlighted this for you yesterday. You can go long at the 50% retracement or the previous upward channel. For some novice investors who may not understand how I analyze this or how to draw these ranges, you can follow my example and learn how I draw. There's no problem in completely copying me. Just remember to come back and follow me if you make a profit, or at least give a thumbs up. For novice investors who come across my post for the first time, be sure to hit follow. Spend a few minutes each day to get direction from me, at the very least, it gives you some peace of mind and assurance, so you don't operate blindly. I want to emphasize again that this position is not likely to see a significant drop. Recently, it's just been back and forth, washing out those novice investors, cleaning them out until it's done.
To put it bluntly, playing in the cryptocurrency world is a contest between retail investors and large players. If you don't have cutting-edge news or first-hand information, you can only be cut!
The article is time-sensitive, the market changes in real-time, and the above suggestions are for reference only!
Investment carries risks; proceed with caution.
