Tang Sizhe: BTC trades sideways at high levels, first falls and then rises, ETH still has momentum to rise

I haven't paid much attention to the market these days because of the holidays, but the trend has basically not deviated from expectations. An analysis article before the Dragon Boat Festival pointed out that the market is expected to fall back and still look upward. The final trend is also because there was no strong and effective breakthrough after consolidating at a high level for a period of time, and then there was a wave of retracement, and then it continued to rise. Bitcoin returned to above 40,000. As for the current upward momentum, the author believes that it has been suppressed again, and there will be a demand for a correction in the short term. Then the bulls will continue to exert their strength, which will undoubtedly restore confidence in the currency circle. The trend of Ethereum also gave a clear hint in the author's analysis. I asked everyone to pay attention to the 2400 mark before. As long as the position is not broken, long orders can be operated, but once the position is broken, the market will follow the trend downward. The final trend is that the market successfully fell below the 2400 mark and extended downward, eventually reaching around 2260, and then the market continued to rebound, which was also supported by an important recent market.

From the news, since May, whether it is mainstream Bitcoin, Ethereum, or non-mainstream Dogecoin and Shicoin, all have plunged, hundreds of thousands of people have been liquidated in an instant, major digital currency exchanges have been down for a time, and tens of billions of funds have vanished in an instant, and this bloodbath has continued to this day. As the currency circle is bleeding, speculators have fled in large numbers. The wind that had previously hyped the arrival of the digital currency bull market has died down, and people who were bullish on Bitcoin to $100,000 have disappeared. The leader of the currency circle, Musk, has also had a bit of a rebellious taste. In the past few days, even Trump has joined in the fun and stepped on it, denouncing Bitcoin as a scam. Although it is a scene of monkeys scattering when the tree falls and everyone pushing the wall down, there are still a group of Bitcoin believers who are fighting tenaciously. Among them, the most eye-catching is Jack Dorsey, the founder of Twitter and Square and a legendary Silicon Valley entrepreneur. At a time when the market is turbulent, this Silicon Valley tycoon still holds high the banner of Bitcoin and chooses to stand firmly with believers. This undoubtedly provides strong support for Bitcoin, causing the price of the currency to rise steadily.

In addition, Ethereum co-founder Anthony Di Iorio said that he is investing in Cardano and Polkadot and betting on their future. As for other crypto assets, Di Iorio hopes to keep it simple and invest in bigger projects. "Most of the projects I invest in are in the top few, Ethereum, Bitcoin, Cardano, Polkadot, and I also like Cosmos. There are some others, but I am not lost in all the DeFi stuff."

From a technical perspective, Bitcoin has been consolidating at a low level since its sharp decline, and has only shown signs of rebound since June. The current return to the 40,000 mark is also a good signal. At least under heavy pressure, the price of the currency has not fallen all the way as the market expected, indicating that there is still a strong support force. From the daily chart, the yin and yang are alternating. Overall, the bulls are gradually exerting their strength. After the currency price successfully stood above the middle track of the Bollinger Band, the callback force became smaller. The market is moving in a positive direction, and various indicators also support the upward trend. In the big direction, Bitcoin still has upward potential. Xing space, follow the official account Tang Sizhe to get more analysis, in the short term, there is a need for a pullback on the 4-hour line, and the bullish momentum begins to shrink. It is normal for the market to pull back after a period of consolidation at a high level. We wait for the pullback to start to arrange long orders. The bearish trend on the hourly line is more obvious. The high level has been sideways for too long. There is a need for a pullback technically. Focus on the support of the 39200-39500 range below. On the whole, Bitcoin has a need for a pullback in the short term, and the general direction continues to be bullish. The operation is short first and then long, you can grasp it.

Ethereum's trend is also relatively active. Since it fell below the support of the 2400 first-line last week, the downward range has increased. The market directly tested the important support level of 2300 mentioned by the author before. Although it pierced this position, the closing line was also relatively fast. In the end, it did not effectively break down and started to rebound again, indicating that the support at this position is still relatively strong. Looking at the daily line, although Ethereum has been tossing up and down recently, it has not gone out of the large shock range. 2300-2800 is a large cycle. Yesterday's closing line was successfully closed in the Bollinger Bands. Above the middle track, then the author believes that the market still has room for upward movement. Short-term pullbacks are opportunities for us to go long. Looking at the 4-hour line, the Bollinger Bands begin to open upward, and the red momentum of the MACD indicator in the attached figure needs to be further increased, and the bulls need to exert their strength. Looking at the hourly line, it is still a sideways trend. The saying that a long sideways trend will inevitably fall will still be verified. On a comprehensive basis, Ethereum follows the trend of Bitcoin. The author believes that the market will experience a wave of pullbacks and then continue to rise. The operation should be short first and then long. Focus on the support of 2560 below.