Wednesday Night Bitcoin and ETH Latest Thoughts

After a strong rebound in Bitcoin and Ethereum in this round, both have entered a high-level consolidation pattern. The focus is now on the upcoming Federal Reserve interest rate decision, which has significantly increased bullish and bearish divergences. The subsequent uncertainty continues to rise, but what remains unchanged is our trading system.

Last night during the US market session, Bitcoin broke through the 94,000 level, and Ethereum surpassed the 3380 mark, directly reaching our designated stop-loss position. Subsequently, it faced resistance and pulled back, with intraday volatility further expanding, leading to a tug-of-war between bulls and bears.

From a technical perspective, both are currently trading above their moving average system, which is in a standard head-and-shoulders arrangement, and the MACD indicator is forming a bullish crossover, creating upward resonance. The medium-term upward trend remains stable. However, it’s important to note that the KDJ indicator has entered overbought territory, indicating that short-term bullish momentum is excessively released. Caution is advised for potential technical corrections caused by indicator divergence.

Bitcoin: 91,000-92,000, then 94,500-96,000. Watch for support breakdowns and potential collapses below 88,000 and 86,000;

Ethereum: 3,250-3,300, then 3,400-3,490. Be cautious of support breakdowns and consider turning bearish if it drops below 3,180 and 3,090.

Personal opinion, for entertainment only, not investment advice!