Bitcoin has been showing strong upward momentum since breaking through the downtrend triangle on the 1st. After two days of sideways consolidation over the weekend, it closed well on the weekly chart today. Most of the resistance levels for Bitcoin indicators have been broken, with only one final push needed.
Currently, the bulls and bears of Bitcoin are fiercely competing and neither side wants to give in easily. Therefore, it is suitable for short-term trading at this time while also paying attention to opportunities for pullbacks.
Some people often talk about predictions like “It would be great if Bitcoin could pull back to 84,000 and establish a position.” This is extremely risky for short-term trading and can easily lead the bears to hold on until 84,000, only for Bitcoin to rise above 100,000 or even reach new highs afterwards. This would make the bears who shorted at low levels panic.
I believe that every time Bitcoin pulls back near 90,000 and holds support, we should not talk too much about bearish views down to 80-70,000. Bitcoin has pulled back near 90,000 countless times without breaking, and then quickly rebounded to 96,000-97,000, stabilizing around the center at 95,000. Breaking through the range of 97,200-97,700 would indicate a reversal, as breaking through this level would immediately lead to 98,200-98,800. Once the pressure at 98,200 is absorbed, it will push towards 100,000 and above.
Currently, altcoins are only following the rise of Bitcoin and have not shown independent trends. The following four events need to be noted:
1. The minutes of the Federal Reserve’s monetary policy meeting in December will be released on January 9 (03:00).
2. The US non-farm payroll employment for December (in thousands) will be released on January 10 (21:30), along with the US unemployment rate for December (21:30).
3. CPI will be released on January 15.
4. Trump’s inauguration on January 20.
In addition, Trump will be in office in two weeks. Today, his victory was certified by Congress, and after the positive news on January 20, it is basically a good time to start taking profit on the rebound.
The trends of TREMP, MAGA, and FIGHT are quite obvious. The increase has been controlled within the range of 50% to 100% from the 2nd until now. The rapid expansion of the bottom range indicates potential energy, and there is a possibility of a 10-fold increase in the next two weeks.
In speculation, one must learn to leverage short-term momentum and inertia. Dare to take action!
1. WAVES
WAVES is a cryptocurrency from Russia. Whenever there is any volatility in Russia, it jumps with joy. It can also be attributed to the foreign exchange currency behind it, which is somewhat related to Trump. Let’s pay more attention to it in the future!
2. IO
Old coins in the past have had smaller and smaller fluctuations, while IO is now advancing as the main force. From its chart structure, IO is currently at a monthly level of primary uptrend, so we should hold positions at the monthly level.
3. FIL
FIL’s volatility has increased today after a long time. It is expected to have a wave of strength in the short term. However, when it comes to the future, it can only rely on the strength of the trend to move upward. Overall, I still don’t have a positive view on it.
