Master Chen 1.16: One hundred thousand breaks again FOMO carnival Next stop peak or high altitude?

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1 day ago

Master Discusses Hot Topics:

Last night's CPI data was undoubtedly a catalyst for the market, as the news of slowing inflation seemed to blow away investors' anxieties like a refreshing breeze. However, it would be somewhat naive to blindly assume that the Federal Reserve will immediately shift to a loose monetary policy.

After all, we are not scholars reading by lamplight, who would write annotations of "major interest rate cuts" at the slightest rustle of a page. Even if there will be policy easing in the future, it is unlikely to happen in the first quarter. In the short term, this data is more about stimulating the market on an emotional level, and the substantial driving force is insufficient.

Speaking of Bitcoin, it surged directly past 100k last night. I must admit that this vigorous momentum has indeed injected a lot of confidence into the market at this critical juncture of power transition.

The price stabilizing at a high level seems to lay a luxurious red carpet for the upcoming new situation. However, behind the emotional FOMO frenzy, we need to pay more attention to the emptiness after the feast.

The current market trend looks like it is trapped in a swirling vortex. Liquidity is frequently plundered between 95k and 100k, but the energy to truly break new highs seems to be lacking.

Looking below, liquidity is accumulating between 93k and 95k. It’s like a surging undercurrent, waiting for the market's direction to reverse again. Will this range become the target for the next wave of selling? The answer lies in the upcoming market structure.

If the price cannot stabilize above 95k for a long time, the rebound will ultimately become a fleeting dream, and the market is likely to return to the lower central range. This is a game revolving around confidence and fear; while the bears seem to be retreating, the bulls' victory is not solid.

In fact, the increase in Bitcoin since 26k has been astonishing, and those who once held onto the "let's wait a bit longer" mindset may now be lamenting. But the higher the price, the more rational we need to be. "100k is not the top, 90k is not the bottom," the biggest characteristic of this market is its unpredictability.

Only by seizing the certainty of the moment can we preserve profits in the ever-changing market. Will the market repeat history and break through the lower liquidity again? The more it seems to be thriving, the more we need to remain calm. After last night's broad market rally, the market's hidden worries may have already begun to brew.

Master Looks at Trends:

Resistance Levels Reference:

First Resistance Level: 100900

Second Resistance Level: 102600

Support Levels Reference:

First Support Level: 99500

Second Support Level: 98500

Today's Suggestions:

If Bitcoin can break through the first resistance level during the day, it means that the downward trend line has been broken, which may signal a trend reversal and further drive the rebound. After the trend breaks, attention should be paid to the stability around 105~106K, which will be an important basis for continuing the rebound view.

The premise of the rebound is still that the price must hold above the key area of 99.5K; a drop to the second support level can still be seen as a reasonable adjustment. If it breaks below, we need to pay attention to the possibility of further declines to the 60-day or 120-day moving averages.

Currently, the rebound trend is maintained above, and aggressive short-term buying points are suggested to be set at 99.5K, while conservative buying points can be set between 99.5~98.5K, which can be done through a phased accumulation approach. Alternatively, observing the stabilization at 100K before entering the market is also a good strategy.

Given that the rebound trend is maintained above, we can expect a trend reversal and operate from a rebound perspective. However, special attention should be paid to the frequent pullbacks in the 100K area due to profit-taking, so vigilance is necessary.

1.16 Master’s Band Trading Strategy:

Long Entry Reference: Lightly buy in the 97500-98500 range. If the structure is damaged, continue to buy near 96000. Target: 99500-100900

Short Entry Reference: Not currently referenced

This article is exclusively planned and published by Master Chen (WeChat public account: Coin God Master Chen). For more real-time investment strategies, solutions, spot trading, short, medium, and long-term contract trading techniques, operational skills, and knowledge about candlesticks, you can join Master Chen for learning and communication. A free experience group for fans and community live broadcasts have now been opened for quality experience projects!

Warm reminder: This article is only written by Master Chen on the official account (as shown above), and any other advertisements at the end of the article and in the comments are unrelated to the author!! Please be cautious in distinguishing authenticity, thank you for reading.

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