Overnight, the market broke into a choppy “surge then pullback” repair structure. After the price rapidly rallied from the lows and broke through a key resistance level, the strength of buy-side demand from the bulls continued to weaken. Selling pressure concentrated overhead then surged, and the price immediately shifted into high-level sideways consolidation. In the short term, moving averages are tangled between bullish and bearish forces, pulling and tugging with each other. Various technical indicators have begun correction and repair after entering the overbought zone. The chart forms a tug-of-war pattern of resistance overhead and support below, while in-market capital sentiment swings back and forth between chasing the rally to enter and holding coins to wait and see.

At this stage, the rebound is nearing its end and is a typical “bull trap” range. The previous wave of rapid upswing has already exhausted all remaining bullish momentum. The upward movement is continuously suppressed by dual sell pressure: profit-taking from above and selling from previously trapped positions. The support below can only provide a limited buffer, and its strength is weak. Combined with clear bearish signals from the technicals—such as bearish divergence at the top (top-back divergence) and indicators becoming dull at high levels—together with a widespread sentiment deviation toward excessive optimism in the market, this rebound is an excellent opportunity for the bears to set up. Shorting in line with the timing of the rebound’s spike into a pressure-test at the highs offers the best price-to-risk value.

Trading reference:
BTC rebound hitting the 60800-61300 range to set up short positions, with targets at 59200-58000;
ETH rebound reaching the 1640-1670 range to short, with lower targets at 1600-1510. $BTC $ETH #TradFiCFD黄金大师赛