Market analysis: BTC falls below the 4-hour support line and rebound demand is strong

In the 4-hour K-line chart, BTC has shown a clear signal of breaking. In the price adjustment that began on January 9, although the short-term closing price of BTC did not reach a new low, more investors have already lost money at this stage.

The 120-day moving average corresponds to $35,625, and the current price of BTC is already below this point. This is the first time that the 4-hour K-line has broken since December 12, which means that more investors will suffer losses. In terms of point, even though BTC has already exceeded the corresponding $18,000 on December 12. However, BTC has fallen back below the 120-day moving average. If it fails to rise above $35,625 in the short term, the decline will continue to expand. Therefore, the short-term rebound demand for BTC is relatively strong.

Data on BTC buying and selling shows that the strength of longs and shorts is not much different. The slight increase in buying strength means that BTC bulls are willing to pull up the price in the short term. Although this willingness is not very strong, it deserves further attention from investors.

In terms of mainstream currencies, ETH's short-term volatility narrowed slightly, and its price elasticity was good. DOT's short-term strong pull-up showed that the main bulls had strong trading capabilities, and the market was developing further in a positive direction. The overall market will continue to be strong against the backdrop of high trading activity, so we can be optimistic about BTC's rebound potential.