Morning Thoughts

From a technical structure perspective, the short-term has officially entered a correction and adjustment phase, mainly because there are too many consecutive bullish days on the weekly and daily charts. The overall space created by the breakout with increased volume is quite large, and after the breakout released its momentum, there was no correction phase, so a correction for a period of time is normal. The daily chart has shown two consecutive downward candles for the first time since the rally began in May, which still signals a pause, with no obvious signs of trend reversal. The trend is still uncertain, but it may enter a period of consolidation. On the smaller timeframes, there was no significant rebound after yesterday’s pullback, possibly because support has not yet been confirmed. There is still room below today, and during the correction and consolidation phase, the dips can generally be participated in. The momentum may shift, causing a step-by-step retracement, so today it’s better not to chase the dips as before, but rather to use retracements to find support and follow up. The morning plan is to first look for retracements, and then decide based on the midday strength.

Operation Suggestions

Bitcoin around 80,300–79,800, target 81,800

Ethereum around 2,270–2,250, target 2,360