In the Crypto Assets market, accurately distinguishing between 'Rebound' and 'buy the dip' is crucial for investors. The market's downward trend often exhibits a staircase-like pattern: fall, consolidation, another fall, and then another consolidation, occasionally accompanied by sharp Fluctuation. This pattern may last for weeks or months until a true bottom is formed.



Currently, we are obviously in a fall trend. The real 'buy the dip' should occur in a relatively bottom area, and there needs to be at least an H4 level (about 3-4 days) upward trend. Before that, any upward movement can only be seen as a corrective rebound during the falling process.

To confirm the end of the short-term fall, it is first necessary to break through the bearish order block (OB) at the H1 level, which is around the 1093 position. Only by breaking this level can it be regarded as the end of the short-term decline, after which it may test the 115-116 area.

Understanding the difference between Rebound and buy the dip is crucial for investment strategy. A Rebound is usually a speculation on the market bottom, which carries higher risks and is suitable for light positions to test the waters or hedge existing short positions. In contrast, buying the dip occurs after confirming that the downtrend has ended, starting to position for the next wave of increase. At this point, the bottom is relatively clear, allowing for reasonable stop-loss settings and normal position operations.

In the current market environment, investors should remain vigilant, closely monitor market signals, and wait for the true bottom to form. Entering the market too early may face the risk of continued falls, while waiting for confirmation signals may miss the best entry opportunity. Therefore, it is crucial to balance risks and opportunities, combining technical analysis and market sentiment to make informed investment decisions.
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