The current market price of Bitcoin: around 90600, rebounding from around 88,000 to break through 90,000 in the past two days, stabilizing at this psychological level in the short term, showing a bullish arrangement, and a short-term bullish outlook.

Below👇 is a detailed analysis for everyone

🥇 Key technical indicators and chart patterns

- Trend and channel: Bitcoin is currently still in a compressed oscillation phase (Bollinger Bands squeeze). BB is a technical indicator; if you don't understand it, go learn to enhance your cognition. Compressed oscillation area: mainly fluctuating in the range of 85,000-90,000 over the past two weeks.

The current price has broken through the upper boundary of the short-term downward channel, indicating initial bullish momentum, but overall it is still constrained by a larger triangular or rectangular consolidation (i.e., the possibility of a false breakout, inducing liquidity kills).

- Moving Average (MA): MA indicators show a bullish state. Price has reclaimed the 21-day MA (around 89,000), but is still below some long-term MAs (such as 50-day/100-day). However, the golden cross/death cross signal has not yet clearly formed (be cautious of false breakouts and false breakouts).

- RSI (Relative Strength Index): Daily RSI around 60-65, neutral to slightly bullish (not overbought), indicating momentum recovery but not overheated (note that overheating is when acceleration occurs). Weekly RSI is similar, exiting the oversold zone (showing bullish volume recovery).

- MACD: Daily MACD line crosses above the signal line, forming a small golden cross, indicating a short-term bullish signal, this is simple and I won't elaborate.

- Main support level:

- 88000-88500 (key pivot point, multiple Fibonacci retracement and previous high support)

- 86000-87000 (strong support, if lost may retest 85000).

- Main resistance level:

- 90000-90300 (current psychological + short-term resistance) has broken and failed.

- 91200-92000 (previous 50% Fibonacci retracement level, can look at 94000+ after breaking).

🥈 Technical suggestion for entering trades

Low long strategy

88500-88800 entry for the initial position

Reasons are as follows:

- Price has effectively broken through 90000, accompanied by a moderate increase in trading volume, showing buyer involvement. Entering long positions belongs to short-term trend trades, which we colloquially refer to as right-side trading!

- Why place it at 85000 instead of near 90000? I have repeatedly mentioned the need to be cautious of false killing of long liquidity, there is a possibility of false breakouts, and to me, the likelihood is not low! So one must be rational; even if you can't get on board, don't force it, otherwise accidents happen frequently!

- Bollinger Bands often trigger large fluctuations after squeezing, and the current upward breakout probability is relatively high (combined with the positive MACD golden cross).

- Funding rates are overall neutral to slightly positive (bulls pay bears, but not extremely overheated), holding long positions is manageable in terms of cost.

- Short-term target: Up to 91200-92000, if stable can increase position to look at 95000.

High short strategy

Direct short near 90700, I currently hold, with a stop loss at 91000-91200, small loss for big space, the risk-reward ratio is perfect.

The reason is simple:

In a broadly bullish scenario, there is the possibility of attracting longs and killing long liquidity!

Here, the short position belongs to left-side trading and must have a stop loss.

🥉 Summary

I personally have a generally bullish outlook in the short term, but it is a rebound rather than the start of a new bull market. One must be vigilant against false breakouts and the killing of long positions.

I perform some analysis every day, hoping to help your trading. If you want to get more of my analysis consultations, please pay attention to Contract Family and join my community.

Analysis is just my view, for reference only, not for investment decisions!