Market Analysis from LBank Derivatives
Yesterday, Bitcoin (BTC) demonstrated a rebound, stopping the decline around $25,300 and rising again. This behavior coincided with the retesting of the MA120 (Moving Average of the last 120 days) indicator. The current price is back around $27,000.
The recent SEC allegations against Binance’s CZ are part of a civil lawsuit. This news, combined with a lack of liquidity at a crucial price level, led to a short-term breakdown and a sharp drop on Monday evening, triggering a considerable amount of stop-loss orders.
Trading recommendation for Bitcoin: The current price has once again reached the downtrend line from $31,000, which acts as a resistance. For those who didn’t buy at the bottom yesterday evening, it is suggested to primarily wait and observe the market. Those who bought at lower levels and around the MA120 area are recommended to continue holding and observing.
Ethereum (ETH), in contrast, has a more stable overall trend than Bitcoin. The current price is around $1,880, with resistance at $1,900. The trend is relatively stable, and the decline on Monday was also relatively smaller. Ethereum also rebounded near the MA120 trendline.
Trading recommendation for Ethereum: The current price has reached the downtrend line from $2,100, suggesting more intraday fluctuations may occur. Similar to Bitcoin, it is recommended to wait and observe for those who did not buy at lower prices.
Notable Altcoins
Pepe experienced a nearly 20% increase in a single day. This cycle could be seen as a demand for an oversold rebound. According to past patterns, the day after a single-day rebound tends to be a good opportunity for shorting. The overall bearish trend still seems to hold.
The OP daily chart shows a figure representing a significant fund unlock day. After the price hit a new low, a minor rebound was observed. After the fall due to news on Monday, a significant rebound is now occurring. The current range is provisionally considered a short-term bottom.
Trading recommendation for OP: The $1.4 region is a short-term low price, and it is not advisable to be excessively bearish here. For medium to long-term, it may be a good opportunity to buy on dips.
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Disclaimer: The opinions expressed in this blog are solely those of the writer and not of this platform.
