February 4th Market Analysis
$BTC Brothers, I mentioned before that 80,000 is a strong resistance level. This rebound is quite fierce, right? 5,000 dollars, directly from 74,600 to 79,400. But we need to stay clear-headed; in the context of a significant drop from 98,000, this rebound isn't much at all. It's at most a breather; the overall trend is still bearish, and it will take a few institutional movements before we can start to see a reversal! Last night, there was another wave of selling, dropping to around 73,000, breaking the previous support level, and lowering the annual bottom line. Overall, the focus is on short positions, and although we can buy low, we must be cautious and protect our capital!
What’s the outlook?
In simple terms, there are two points:
1. Short-term focus on 80,000 USD
In the early morning, upon reaching this point, it turned around, indicating real pressure. However, according to Bitcoin's temperament, it might come back one more time, or even fake a breakout above 80,000 and 80,500. So for the aggressive friends, you can short with a light position here, targeting below 79,000, quick in and out, and set a stop loss.
2. The best position for a medium-term short is between 83,000-84,000
If it truly rebounds to this level, that would be a golden opportunity for a medium-term short from the heavens, and I will focus on positioning. Remember this phrase: rebounds are for better declines.
Why do I think there will be further declines?
The reasoning is simple: over the next four months, the Federal Reserve is unlikely to lower interest rates. Without liquidity, the market is like floating duckweed without roots, making it difficult to really take off. I anticipate this adjustment is not over; Bitcoin could see 50,000-60,000 in the medium term, and Ethereum ($ETH) might even go to 1,500. When that time comes, don't hesitate; that will be the time to bend down and pick up gold, hold on for the next bull market, and it might change many people's fates.
What have we been doing recently?
It's simple, not following emotions, operational suggestions
BTC 72,500-73,400, buy the dip, run after a 1,000-point rebound
BTC 78,800-80,000, short, increase positions with floating profits, go in heavy
The market is always changing; remember, don't be greedy, don't panic, stick to the plan, the market is always right, the one who is wrong is you. When you are out in the world, you must stand straight when facing blows!
