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BTCUSDT: Decline Hard to Reverse in Short Term, Still Go Short after Rally

Cryptocurrency
Summary:

FTX collapse dragged Bitcoin and other cryptocurrencies plummeting. The market sentiment is low and difficult to change in the short term. The possibility of another decline cannot be ruled out.

Sell BTC-USDT
End Time
CLOSED

17600.0

ENTRY PRICE

16000.0

TGT PRICE

19100.0

SL PRICE

23736.5 +209.5 +0.89%

2448

Points

Loss

16000.0

TGT PRICE

17844.8

CLOSING

17600.0

ENTRY PRICE

19100.0

SL PRICE

Fundamentals

Of late, market expectations of the Fed slowing the pace of interest rate hikes have been heating up and festering. The dollar has continued to weaken, the market's risk appetite has risen, and many cryptocurrencies including bitcoin have bottomed out and rallied after trading sideways for a long time.
Still, the entire crypto market is pervaded by negative sentiment following the spillover effects of the FTX collapse, which caused bitcoin and all types of tokens to plummet across the board. More and more investors are questioning the true value of cryptocurrencies, and there are concerns about the lack of regulation and security.
As Bitcoin continues to fall this year, market sentiment seems to have hit the bottom, and trading has been lukewarm in recent months. CoinShares weekly data shows that the crypto market continued its previous negative sentiment last week, with funds continuing to outflow, with an outflow of $10 million in bitcoin. This underlines the lack of investor confidence, and while bitcoin has rebounded, it's hard to say that this is a positive sign that things are turning around.
BTCUSDT: Decline Hard to Reverse in Short Term, Still Go Short after Rally_1

Technical Analysis

BTCUSDT: Decline Hard to Reverse in Short Term, Still Go Short after Rally_2
From the daily chart, the BTCUSDT maintains oscillating at lows. After the price fell below the key support near 18700, the downside was further opened. Although the price has rebounded in the short term, the strength is not strong; the only way to reverse the current downtrend is to break and stabilize above 21500. The BTCUSDT is expected to go down again to test the 16000 mark or even lower in the coming sessions.
It is recommended to mainly go short at highs. Shorting can be attempted after the price rallies to near 17600, with the target set at the lower support level near 16000 and the stop loss set above 18700.

Trading Recommendations

Trading direction: Short
Entry price: 17600
Target price: 16000
Stop loss: 19100
Support: 16000/15500
Resistance: 17600/18700
Risk Warnings and Investment Disclaimers
You understand and acknowledge that there is a high degree of risk involved in trading with strategies. Following any strategies or investment methodologies is the potential for loss. The content on the site is being provided by our contributors and analysts for information purposes only. You alone are solely responsible for determining whether any trading assets, or securities, or signal, or any other product is suitable for you based on your investment objectives and financial situation.

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Winkelmann

Analyst

7 years of stock market, foreign exchange, precious metal and other trading and analysis experience, based on fundamental, technical support, biased towards the top-down transaction logic, focusing on macro cycle and risk control, multi-purpose supply and demand theoretical prediction price Changes, balances the impact of transactions, chips distribution and market sentiment, and steady.

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Focus on

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