Little Seven

A big bearish candle pierced through a key level! Bitcoin broke 90,000, Ethereum fell below 3,100, is it really going to crash? Where to buy the dip, where to short? Let's clarify one by one:

1. First, let's look at Bitcoin: the core support is around 89,300, today it touched a low of 89,800, which is very close to strong support! For those looking to bet on a short-term rebound, wait for the 89,300-90,000 range to stabilize before taking a small long position, with a stop loss set below 89,000; the ideal position for shorting is near 93,300, where there is a previous dense transaction resistance area, plus strong resistance at 94,000, for those who haven't positioned short orders before, you can build positions gradually at highs.

2. Next, let's look at Ethereum: the key support is $3,085, today it dropped directly to $3,050 before a slight rebound, currently struggling around $3,080! If this level can't hold, the next support will be at $2,800; for shorting, watch for $3,180, where there is a large amount of trapped selling pressure, and $3,400 is a strong resistance ceiling, any rebound to these two positions presents shorting opportunities.

3. This recent crash of both coins is not a surprise at all! It is precisely the escalation of the US-EU trade war that we have repeatedly emphasized, the European Parliament freezing trade agreements, along with the Japanese bond sell-off triggering a global risk-averse tide, Nasdaq futures plummeting by 2.39%, leading to a collapse in the crypto market, with funds fleeing madly causing nearly $870 million in long positions to be liquidated; this trend was already in our prediction.

4. This is how the crypto circle works, last week we were calling for Bitcoin to reach 100,000, Ethereum to break 4,000, and today we are crying about a potential crash. But we, as professional traders, are never swayed by emotions; when Bitcoin faced strong resistance at 98,000, we shorted, and when Ethereum faced resistance at $3,400, we decisively positioned ourselves. At that time, many advised me not to go against the trend, but little did they know that was the last opportunity to escape the peak, looking back now, it’s all profit space.

5. The strategy moving forward is very clear: for the short term, wait for a rebound to continue adding to shorts, Bitcoin at 93,300-94,000, Ethereum at 3,180-3,400 are key areas for shorting; for the long term, continue holding short positions at 98,000 for Bitcoin and 3,400 for Ethereum, aiming for the end of January, this wave of correction is not yet over, the excitement is still ahead! Let’s stick to our discipline and go with the trend, and together let's navigate this market wave, keep it up!