Gate Square “Creator Certification Incentive Program” — Recruiting Outstanding Creators!
Join now, share quality content, and compete for over $10,000 in monthly rewards.
How to Apply:
1️⃣ Open the App → Tap [Square] at the bottom → Click your [avatar] in the top right.
2️⃣ Tap [Get Certified], submit your application, and wait for approval.
Apply Now: https://www.gate.com/questionnaire/7159
Token rewards, exclusive Gate merch, and traffic exposure await you!
Details: https://www.gate.com/announcements/article/47889
Last night's market movement was indeed quite aggressive. Bitcoin briefly surged to $94,478, and Ethereum also broke through to around $3,383. Trading volume clearly increased, indicating that the bulls' momentum has indeed returned. The upward drive mainly comes from optimistic expectations about the Federal Reserve's policies, along with technical breakout confirmations.
However, there's a point to watch out for — short-term technical indicators are already in overbought territory. This usually means the market might need a pause or consolidation before continuing higher. So at the current price levels, I wouldn't recommend chasing the rally directly.
**Trading Strategy for Bitcoin:**
From the 4-hour chart, the Bollinger Bands are opening upward, confirming a bullish arrangement. But the RSI and other indicators on the hourly chart show overbought conditions, indicating a strong short-term correction might be needed. The safest approach is to wait for the price to retrace to the support zone around $93,600–$93,800 before taking a small long position. If the decline is more aggressive, you can build a position in batches near the strong support at $92,800–$93,000. Set stop-loss below $92,500, with targets at $94,500 and $95,000.
If the price consolidates and then volume breaks through the Asian session high of $94,500, the upside potential will open up, possibly heading directly toward $95,000 or even $96,000.
**Ethereum Perspective:**
The trend is basically following Bitcoin, with similar strength. But the 4-hour indicators also show overbought conditions, suggesting there could be significant short-term pullback pressure.
The core idea remains to buy on dips. Watch for opportunities around the support zone of $3,230–$3,250. For a more conservative approach, entering around $3,180–$3,200 is preferable. Set stop-loss below $3,150, with targets at $3,350–$3,380.
For more aggressive traders with enough experience, if you see signs of stagnation at the strong resistance zone of $3,380–$3,430 (such as long upper shadows), consider taking a small short position. Be sure to set strict stop-loss within $30–$50, with a target around $3,300.
**Overall Market Rhythm:**
After a strong breakout, the short-term trend remains bullish, but the risk of technical correction cannot be ignored. The main trading approach is to buy on dips and avoid chasing highs. The truly prudent strategy is to patiently wait for the price to return to key support levels before entering.
A reminder: operate with small positions, and ensure stop-loss and take-profit levels are properly set.