Mainstream currency breaks down and rebounds, bitcoin and ethereum operation suggestions and year-end layout
Speaking of finance, the first thing that comes to mind is digital currency, especially Bitcoin. Its rise is terribly shocking, and round after round of bull markets will continue until 2021. The once-misunderstood "Ponzi scheme" has completely turned around in this year, and now it is unattainable for many people. Even "CCTV" promotes it, which shows how widely recognized it is. Just entering 2021, Bitcoin's rise is unstoppable, which once made people hallucinate. Many people have been hyping that $100,000 is just around the corner, but this momentum has gradually weakened after the historic crash on January 11. However, as Bitcoin fell from $40,000 to below the $30,000 mark, investors became restless again. It is obvious that from the performance of this round of bull market, Bitcoin has been recognized by the mainstream market. Every correction of Bitcoin will be accompanied by a sharp correction in the prices of other assets in the digital asset market, and at the same time, it will once again arouse investors' nervousness.
Last week, Bitcoin once rebounded and hit the $40,000 mark, and then stabilized around the $36,000 line. But this is only a short period of calm. "Long-term shock, there must be a breakout." Beginning on January 20, the price of Bitcoin was under pressure again and fell below the $29,000 mark the next day. What is intriguing is that despite the severe market volatility, the recent trading volume shows that this price drop has not seen a large number of panic trading and liquidation similar to around January 11. Regardless of whether it is spot or perpetual contracts, although the trading volume has increased, compared with last week's trading volume peak, this week's peak is significantly flatter. It seems that the market is already preparing for this decline, which means that the market is beginning to show signs of stabilization
This week, Bitcoin experienced a big correction, and even encountered the era of the beginning of 2 again. Many people are guessing what the trend will be like in 2021? Will the bull market still come?
Currency analyst Tan Yu Kai believes that 2021 will be a bull market. In fact, short-term adjustments are normal. This round of bull market has risen rapidly. Unexpectedly, at the end of last year, the price of Bitcoin quickly exceeded 20,000 US dollars. I thought Bitcoin would break through $20,000 in the first quarter of 2021. Subsequently, Bitcoin broke through the $30,000 and $40,000 mark in a row. It is normal for Bitcoin to pull back to more than 30,000 US dollars. The author believes that this round of bull market will continue for several months, and it is difficult to say whether it will end in the middle of 2021 or the end of the year. In fact, a 25% pullback in Bitcoin is not too big. If this bull market is really over, Bitcoin should pull back more than 50%.
The short-term risk accumulation of Bitcoin has been reflected in various aspects such as lending interest rates, futures funding rates, and grayscale trust premium rates. Leverage should be reasonably controlled to avoid risks brought about by short-term corrections. It is a high probability event that the market value of Bitcoin will surpass gold in the next one or two years. As an efficient and liquid digital asset, Bitcoin will well reflect the inflation rate in the real world. Assuming that inflation has no end, then Bitcoin Coins actually have no end. As the new year approaches, Mr. Tan thinks that Bitcoin will usher in a wave of red envelopes like Christmas and New Year’s before, so are you ready at this time?
Bitcoin (BTC), after the adjustment, broke down and fell below the $29,000 mark at one point, then stopped falling and rebounded. After standing firmly at the $30,000 mark, Bitcoin continued its upward trend and so far broke through the $33,000 mark strongly. Looking at the daily line, Bitcoin closed positive the next day, recovering most of the decline, and the overall operation is in the downward channel, BOLL is in a flat state, and the moving average MA5/MA10 continues to cross the dead cross at 33,600/35,100 respectively to suppress its upward movement. Pay attention to the support around $32,000, the key support is at the round mark of $30,000. The short-cycle KDJ technical indicators are moderately upward, and the downward trend of MACD in the attached picture is heavy. It is expected that Bitcoin will continue to maintain adjustments.
Looking at the overall trend in four hours, it shows a trend of "falling and rebounding". It remains to be seen whether it will bottom out and rebound, after all, the overall trend is still under pressure. BOLL is in a flat state, and the currency price is firmly above the two major moving averages, but it is still suppressed by the BOLL middle rail at 33,300 US dollars. Once it breaks through and stabilizes effectively, the currency price will usher in a wave of rebound momentum. If the currency price continues to be under pressure We will continue to maintain weak adjustments, and focus on the support around $32,000 below. The short-term KDJ technical indicators are moderately upward, and the upward movement of MACD in the attached picture can increase volume. It is expected that Bitcoin will maintain a volatile upward trend.
To sum up: Bitcoin has rebounded and once again stood above the $30,000 mark. Although the short-term trend is bearish, it gives a stable signal to the market. The continuation of the plunge in early trading the next day led to panic in the market, but the bulls in the European and American markets turned around quite beautifully. Breaking down, stopping the fall and rebounding, it is like a wave of short-term trends. As Bitcoin stands firm at the $30,000 mark, Mr. Tan thinks this is a good thing, and the short-term adjustment is only for a better rise in the market outlook. In view of the current trend, there is a short-term demand for Bitcoin to rebound, but the general trend is still bearish, so the operation maintains the idea of selling high and selling low, but not blindly chasing ups and downs. If the market outlook can effectively stand above $36,000 , you can change the overall trading thinking. If you are uncertain about the interpretation of technical market and news, or you have a set list, you can discuss it with Mr. Tan. Subscribe to the official account; Currency Circle Retail Alliance.
Short-term upper resistance level: 33700/34200 Short-term lower support level: 32500/32000
Ethereum (ETH), the short-term ups and downs are affected by the big pie, but its ups and downs are stronger than the big pie. Ethereum, like the big pie, has gone through a wave of downward and upward trends, but Ethereum is standing above $1,200 (the position of the daily BOLL mid-rail), and the overall trend is on the high side. Relying on the position of the middle rail of BOLL, ether continues to rise, and so far the highest has touched the first line of 1267 US dollars. Looking at the daily line, the next day’s ether closed, and today’s Asia-Europe market is rising, but the upper part is suppressed by the MA5 moving average at 1270 US dollars. Only by effectively breaking through and standing above this position, the next target will continue to look at the 1300 US dollar mark. The bottom is supported by the BOLL middle rail at $1,200. Before it falls below this position, we still tend to be bullish. The short-cycle KDJ technical indicators are running moderately, and the attached MACD momentum is increasing. It is expected that Ethereum will maintain a volatile trend.
To sum up: this wave of ether has pulled back to the line of 1039.81 US dollars, which is close to the lifeline of 1000 US dollars. Fortunately, the support is effective and ether has stabilized and rebounded again. The overall trend is to maintain a large level of adjustment with bulls as the main one. The future market depends on the bit Therefore, for today's operation, Mr. Tan suggests that low and long should be the main focus, and high altitude should be supplemented. For spot traders, no matter what currency you are operating, every pullback is the moment for you to hoard coins. For those who are stuck in high positions, don't panic. Covering up positions is your best choice, lowering the average price, Peace of mind is peace of mind.
Short-term upper resistance level: 1270/1300 Short-term lower support level: 1240/1220
The author thinks that there are only two reasons why market investors are caught in the trap: first, you are still not reconciled, because most of the unwinding ideas are to rebound or pull back to a relative position to reduce the position and get out with a small loss, and this is for you It is unacceptable to say that you are still looking forward to the market rebound or pullback in your heart, and then you can save your capital or even make a profit to get out, which is understandable. But here is a reminder to everyone, first of all, whether your position can withstand the wait, whether it can withstand the changes in the market, maybe you are lucky, the market has returned to the point where you set the order, if you catch the market in time and get out, Then there is a perfect solution. In this case, there is another possibility. Because of the greed of human nature, the market has reached your set point, but you think that the market will continue to make you profit, thus missing the perfect opportunity to get out. So next time I don't know when to wait. At present, friends who are trapped in long positions at high positions and short positions at low positions suggest that you come to the author directly and tell me your specific situation. The author will help you formulate a detailed unwinding strategy based on your position, funds, and the specific strength of the market. Instead of talking here now about what position to lighten up, what stop loss to get out, because before the market comes out, all this is equivalent to empty talk, and it will not be of any benefit to you in the future. The author hopes that you can find me before the weekend, because in this way we can arrange a follow-up operation plan during the weekend to help you recover your losses. The author talks. Follow the author Tan Yu Kai, get daily technical analysis of BTC, ETH, XMR, EOS, BCH and other market conditions, and provide real-time order strategy guidance.
