The market rhythm is proceeding as expected; the United States is still on holiday, Bitcoin is looking for a bottom, and altcoins are fluctuating to create a base.
Why is there a decline?
Currently, there doesn't seem to be any new negative news. The current price of BTC fluctuating around $95,000 is quite normal. After the election, BTC's lowest fluctuation range came down to around $92,000, and later it was lifted due to various positive news. So, fluctuations during the recent period of low liquidity are nothing unusual.
The current investors have normalized their emotions during the holidays. Now, retail investors in the market have mostly sold what they needed to sell and bought what they needed to buy. In the absence of institutional or large fund intervention, the buying and selling volume is limited to this. Unless there is new positive or negative news to stimulate the market, emotional buying or selling is unlikely to occur again. Otherwise, it will likely maintain a state of fluctuation.
Today's market: Bitcoin key support at EMA55, 90500.
EMA55 is the defensive position for bulls, and 90500 is the key defensive area for the market.
Holding above = daily bull structure is complete, and the market is likely to continue. Falling below = increases the difficulty of trading, triggers selling pressure, weakens sentiment, and collapses the profit effect.
To put it simply, there is no need to predict whether it will break below or not, but once it loses the support, restoring market confidence will take longer, similar to the market situation in April this year...
Ethereum seems strong in the intraday view, but don't forget that the ETF is operational today; then you'll know who the big boss is. Don't be fooled by the Asian and European sessions; the big boss is BTC. Only when the big boss is strong can ETH break through the pressure at 3440 and 3550, otherwise, you can only wait for a lower point. The first support at 3333 has already risen to the pressure at 3440.
In fact, the current market is quite easy to trade because both the slow decline and the slow rise provide opportunities for exit and entry; there is no trend that doesn’t turn back.
Long and short battle, everyone be careful: refuse to be complacent. The market seems calm, but there are hidden undercurrents; the best approach is to observe and wait for an opportunity to buy the dip or enter the market. I believe the market will not disappoint your patience.
At this time, it is necessary to focus on trend trading. It is better to wait until it stands above before buying; personally, I believe if it doesn’t hold above, the possibility of another drop is higher (not bearish, just expressing a realistic view of the market).
My approach is very simple: I will not open any contracts or leverage, I will not touch long-term positions in spot trading, I will clear short-term positions that I currently consider non-Alpha projects, and try to increase USDT positions and wait for opportunities to enter.
The bull is taking a break to drink water in the middle of the game; take this opportunity to buy two coins during this pullback.
1. PNUT
The internet-famous squirrel has reached a strong support point again in the short term, showing a slight rebound and is expected to form a short-term upward movement! ACT is synchronized with it, and both have similar trend patterns; however, PNUT may be more reliable than ACT. These two will be another wave of popular coins after the special line is launched!
2. ENA
ENA experienced a pullback near its historical high, which is normal for the overall market trend. It has returned above 1 and has always been a coin with dark horse potential. The trend is clearly incomplete, and it still has a lot of upward momentum to gain!
