5.19 Early Morning Strategy

On Monday, it was suggested to take most of the long positions, precisely controlling the market rhythm. Bitcoin initially surged early and then fell back to around 76,700. On Sunday, we had already set up overnight long positions at 78,400/78,100, which directly gained 1,400/1,200 points; after hitting bottom briefly, it started to rebound in the afternoon. We positioned short positions around 76,700, and the evening rebound came as expected, gaining 650 points. After pushing up near 77,760 in the evening but failing to continue, it reached our target long position again at 77,600. Subsequently, the price continued to decline, and we closed all positions around 76,300, earning 1,300 points. Whether it was the longs from Sunday or those following Hu’s strategy on Monday, both were highly profitable. In such a big trend, there’s no need for many words; the only thing to do is to decisively follow the trend.

Overall, the daily chart shows a mid-term bearish candle closing lower, with sideways consolidation under pressure, then a weak downward move. Yesterday’s volume expansion opened up space, and with the continuous decline on the daily candles, a retracement has formed, currently continuing further. The daily chart indicates a need for further correction. In the short term, the weakness is evident; the accumulated weakness is hard to reverse quickly. Even if there are signs of a rebound in the short term, it cannot change the overall bearish trend. Morphological analysis further reveals that as the highs continue to decline and key support levels are broken, the lows during the correction are also following closely, indicating that the correction trend has not ended. The rebound momentum is weak, repeated attempts to rise have failed, and resistance is significant. Under this weak pattern, it’s difficult for the short-term to quickly recover lost ground, suggesting that the lower support levels are likely to be penetrated. Therefore, the recommended approach remains to mainly go long, follow the trend, and wait for further downside adjustments.

Operation Suggestions
Bitcoin around 77,000–77,500 long positions, target 75,500
Altcoin 2120–2140 long positions, target 2050