5.22 Friday Evening

Market action continues to oscillate around 2150–2100. Tonight at 23:00, watch Wash’s swearing-in ceremony—see what kind of movement it brings to the charts.

Today’s daytime trading range was very small. It moved only about 20 points up and down. From the candlestick chart, yesterday’s close was 2132, and it continues to form another bullish (yang) candlestick, which suggests the rebound trend is still ongoing. The smaller timeframe range is 2110–2140; on the larger timeframe it is oscillating between 2080–2180.

For 5 consecutive days, price has been ranging in a small interval. Today is also Friday, and based on typical Friday volatility, it usually tends to be relatively larger. We know the market is in a bearish trend with a rebound, so our primary direction is short—continue shorting at high levels. Tonight and through the weekend, we need to refer to Bitcoin’s resistance for where the market may go, because when Bitcoin reaches higher levels, it becomes very weak. After waiting a few days, 2180 still hasn’t been touched, and even 2160 hasn’t been reached. 2150 has also failed to break multiple times. For the evening session and the weekend, watch how far Bitcoin can go. Focus on Bitcoin’s first resistance at 78200–78500, and the second resistance at 79000–79500.

Support below still remains around 2080–2090. As long as 2100 doesn’t break, we’ll continue looking for a rebound. Once this breaks, the long side can participate around 2020.

Short order strategies:
Aggressive: 2180–2190, insurance 2205, targets 2150, 2100;
Conservative: 2210–2230, insurance 2290, targets 2110, 2030;

Key levels:
Resistance levels: 2150, 2180/90, 2210/30, 2250/2270 (strong pressure—bull/bear dividing line)
Support levels: 2080, 2040/2020. Strong support at this level can be bought (only for the first time), 1980