Bitcoin continues to test the lower support, is the waterfall coming?
The American "Connection" magazine published an article "China dominates the global blockchain competition". According to the article, General Secretary Xi Jinping is the first national leader in the world to give such a strong endorsement of blockchain technology. His words have had a major impact. The United States should treat artificial intelligence and other major technologies that raise major public policy issues. Treating the blockchain in the same way, if American policymakers and companies remain indifferent, then the blockchain with Chinese characteristics will become even more important to be underestimated.
China's promotion of blockchain development at the national level is mainly based on two strategic goals: one is to end the era of US dollar hegemony, and the other is to reduce the dependence on the United States for basic technology. China's issuance of a central bank digital currency will create synergies with the development of domestic blockchain infrastructure. In a low-trust country like China, the decentralized nature of the blockchain will reduce the cost of trust and generate huge economic and social benefits. In the words of General Secretary Xi Jinping, "Take blockchain as an important breakthrough for independent innovation of core technologies, clarify the main direction of attack, increase investment, focus on overcoming a number of key core technologies, and accelerate the development of blockchain technology and industrial innovation. "So the vigorous development of the blockchain in China is definitely a long-term plan, so even if the domestic support for the blockchain does not include cryptocurrencies, it is also a great benefit for the accompanying cryptocurrencies. And this kind of benefit is also really reflected in the price of the currency. The day after the speech, the price of Bitcoin soared by 12%. At present, the price of Bitcoin is indeed suppressed in the short term, but in the long run, Bitcoin is indeed optimistic.
At noon in the day, the price began to fall back. At present, the price continues to test the key support position below 8600-8540. This wave of decline also makes the market's bearish sentiment continue to heat up. From the recent trend, Bitcoin price It is indeed very possible to get out of a big market. But at present, it is still a relatively arbitrary choice to rashly bet that the price will break through and go down. The support at the 8600-8540 first-line position below is still strong, and the price has been given to this position many times before, but it has not been broken. The current downward trend of prices is also slowing down, and the price has fluctuated around 8600 for a long time. From the 4-hour chart, the price is indeed dominated by bears, but the volume has shrunk. On the hourly chart, the price returned to run within the Bollinger Bands again, and the 5 moving average indicators all maintained a downward trend. In the evening market outlook, it is recommended to rebound and short mainly. The price will be placed at 8740 to enter the market, and the stop loss will be set to 8800. The take profit position will first look at 8600-8540, and continue to hold at 8300.
ETH today rebounded after testing the support of the 184 line, but the upward momentum was weak. It still did not return to the middle track of the Bollinger Band in the four-hour level, and the shape of the Bollinger Band shrank, and the downside space was insufficient. Only by testing the trend of the 184 first-line support will there be a chance to fall further, otherwise it will still rebound back to the Bollinger Band middle rail 186 line for oscillating operation, but there has been a continuous decline in the hourly chart, the Bollinger Band is the first to expand, and the short-term downside space will gradually increase It has an impact on the long-term level indicators. The attached indicator MACD has also gone below the zero axis again. The short position has not weakened. There is still a chance to continue to fall tonight. The operation strategy is recommended to follow up with empty orders after a rebound. The entry point Focus on the 185 line, stop loss at $187, and take profit at $181.
