Gu Jingci: 5.23 Bitcoin/Ethereum Morning Trading Strategy and Market Analysis

Bitcoin/Ethereum overnight saw a sharp decline after Woshang took office, with multiple previous warnings about a wave of decline reaching 73,000 and 2,050. The target has arrived as expected, and Bitcoin still needs a bit more to stabilize. Currently, the market is rapidly dropping; focus on whether the previous daily low of 74,900 and the 2,050 level can form some support. On the 4-hour chart, a large volume bearish candle appears, confirming the acceleration of the downtrend and effectively breaking below the 2,100 and 77,000 key levels. The latest 4-hour candlestick is a small-bodied bearish candle with significantly reduced volume, indicating that the bearish momentum at current lows is weakening, and the market is entering a short-term consolidation or hesitation phase, but no clear signs of a trend reversal have appeared.

On the daily chart, a large-volume bearish candle closed, indicating that the bears are dominating the market, with prices hitting recent lows. Technical indicators show DIF and DEA both below the zero line, with DIF below DEA, and the MACD histogram is negative and expanding, indicating a strong downward trend with bearish dominance. However, caution is needed for the possibility of a rebound from oversold conditions. Currently, both buyers and sellers at lows are cautious, which may suggest that short-term downward momentum is slowing, but there is not enough buying support to reverse the trend.

Trading suggestions: Buy Bitcoin near the current price of 75,000 to 75,300, with targets around 77,000 to 78,000; buy Ethereum near the current price of 2,050 to 2,060, with targets around 2,100 to 2,130, and a stop-loss at 74,000 and 2,020.