$BTC Technical Analysis - 12.24
Daily Chart Pattern: Yesterday, a long upper and lower shadow candlestick with a short body was formed, while the trading volume remains insufficient, indicating that the market has not yet formed a bottoming signal. Overall performance still leans weak, with both bulls and bears not yet establishing a clear direction.
MACD Indicator: Bearish volume continues to be released, and the fast and slow lines are gradually approaching the zero line. It is essential to pay attention to the performance of the fast and slow lines near the zero line. If a golden cross signal appears above the zero line, it will provide some support for the bulls; otherwise, bearish pressure may further intensify.
Bollinger Bands Indicator: The current price is around $94,000, located within the encompassing area of the lower Bollinger Band, without triggering an oversold market. The shape of the Bollinger Bands indicates that the broad fluctuation pattern continues, and it is challenging to break through the current range in the short term.
EMA Indicator: EMA7 and EMA21 have formed a death cross and are extending downwards, further distancing themselves from the lower EMA55 ($91,500). This indicates that the price is still oscillating downwards, seeking bottom support signals. It is worth noting that EMA55 - $91,500 serves as an important support level that has never been touched during this round of price correction, exhibiting strong support effects.
Current Market Characteristics and Strategy Suggestions:
Considering the insufficient trading volume during the Christmas holiday, the probability of the market maintaining a range-bound fluctuation is high; however, bottom signals remain unclear, so it is not recommended to blindly bottom-fish for long positions at this stage.
Risk Control: Currently, the bearish volume has not been fully released, and there is a possibility that the price may continue to dive.
Opportunity Seizing: Pay attention to the support strength at $91,500 (EMA55). If the price touches this level for the first time, one might attempt to take a risky long position.
Patience: If the price does not show a clear stabilization signal, it is advisable to maintain a wait-and-see approach, waiting for confirmation of bottom patterns or volume before taking action.
Summary: In the short term, BTC still primarily trends downwards with fluctuations; the support level at $91,500 deserves close attention. Risk must be strictly controlled during operations, and patience is needed for the market to provide clearer signals.
Preview: There has been unusual movement in the Ethereum altcoin direction. For specific analysis, please check my next post.
