The Great God said about the coin: The fluctuation and consolidation of Bitcoin on May 27 has ended, where will the bulls and bears look?
After two days of fluctuations and consolidation over the weekend, a clear direction finally emerged at 5 AM today, with Bitcoin's price dropping to a low of 68128.When the water is full, it overflows; when the moon is full, it wanes; self-satisfaction leads to failure; self-importance leads to foolishness. Those who avoid reality will find the future even less ideal. The market cleanses itself, and only the strong remain impressive. The market is ever-changing, and going against the mainstream has become the norm. When many people are bearish, the bulls may be about to arrive. The rapid switching between bulls and bears always catches people off guard, and the shift in strength and weakness occurs in an instant.
Market Review
Following last Friday's article where the master indicated a short position at 69650, after two days of consolidation over the weekend, a clear direction finally emerged at 5 AM today. The price of Bitcoin dropped to a low of 68128, easily capturing over 1000 points. I believe those who have been following and trusting the master have also seized this profit opportunity.
Bitcoin 4-Hour Chart
Currently, the price of Bitcoin is hovering near the middle band (68421) of the 4H Bollinger Bands. The upper and lower bands are showing an expanding trend, indicating increased price volatility. The MACD histogram shows that momentum is gradually diminishing, suggesting insufficient upward momentum. The K and D values in the KDJ indicator are hovering around 50, not yet showing a clear direction. In the short term, the price of Bitcoin will continue to consolidate. It is important to pay attention to the MACD death cross signal and the support strength of the middle band. If the price breaks below the middle band without a successful rebound, and the MACD forms a death cross, there may be further downside risk. Conversely, if the price remains above the middle band and the KDJ forms a golden cross, there is a possibility of further rebound.
Bitcoin 1-Hour Chart
Currently, the price of Bitcoin is near the lower band (68472) of the 1H Bollinger Bands, facing significant downward pressure. The contraction of the Bollinger Bands indicates that it will enter a consolidation phase in the short term. The appearance of the MACD histogram suggests a temporary halt in the downward trend. The K and D values in the KDJ indicator are below 20, indicating that Bitcoin is currently in an oversold state. If a golden cross forms in the oversold zone, the price of Bitcoin may experience a certain rebound in the short term. It is crucial to monitor whether the lower band can provide strong support and whether the KDJ will form a golden cross in the oversold zone.
In summary, the master offers the following suggestions for reference:
Go long near 68300 for Bitcoin, targeting 69400, with a stop loss at 67900 (Please note that online publication may have delays; the above points are based on the time of writing.)
Giving you a 100% accurate suggestion is not as valuable as providing you with the correct mindset and trend. After all, teaching someone to fish is better than giving them fish. Suggestions may earn you a moment, but learning the mindset can earn you a lifetime! Focus on the mindset, grasping the trend, and planning your positions and layout. What I can do is use my practical experience to help you, guiding your investment decisions and management in the right direction.
Writing time: (2024-05-27, 06:00)
