5.21 Bitcoin/Ethereum rebound is not a reversal, just a consolidation during a decline

Bitcoin/Ethereum has rebounded somewhat since its low, especially since Bitcoin's overall trend remains relatively strong, once again approaching the 78,000 level. Although it appears very strong overall, there is still significant downside space. The latest 4-hour chart shows a small-bodied doji candlestick, indicating fierce competition between bulls and bears, and the market is in a consolidation phase. On the daily chart, the recent two days' candlesticks are both bullish, showing signs of short-term stabilization and recovery, but overall it remains a rebound within a downtrend.

On the weekly chart, several bullish candles previously, just last week a large bearish candle, and now a sideways movement with some rebound, which is merely a continuation of the downtrend. Technical indicators show the DIF line has crossed above the DEA line to form a golden cross, and the MACD histogram remains positive and is expanding, indicating short-term momentum has shifted from bearish to bullish. However, the DIF and DEA are still below the zero line, so the overall trend remains bearish. Additionally, the recent rebound volume has decreased compared to the massive volume during the decline, suggesting the rebound strength may be limited and caution is needed for subsequent selling pressure.

In terms of trading, continue holding long positions from higher levels, or enter short positions around the current price of 78,000 and near 2145. Short-term targets are 75,500 to 76,500 and around 2060 to 2090. The main Bitcoin target has moved up to 78,800, with the second target remaining at 2180.