June 19th market diary:
Market explanation: There are always reversals in the market. In early June, the news that Bianca and Coinbase were "regulated by the SEC" caused the price of Ethereum to fall sharply below the previous low. More than a dozen small currencies were defined as unregistered security tokens, which caused panic. Funds in the digital currency market were withdrawn significantly. It was once thought that the bear market was coming again, and market panic spread. As the SEC and Bianca were expected to reach a settlement agreement, reversals followed one after another, the bad news was exhausted, and the bulls began to counterattack.
Friends who have been shorting out of inertia for a long time should be prepared for defense. This round of market adjustments also represents the arrival of the bulls' counterattack. The short-term suppression and stagflation in the market does not mean that the bears hope to increase their investment, but there is still a certain demand to break the high at the top this week. This week, the trend will be more inclined to fluctuate upward. There will be a demand to fall again only after the top touches the overall suppression.
Bitcoin:
The weekly line has completed the long connection very well, and the weekend's gains have basically been continued in the new week. The bottom formed on Saturday was tested again in the morning today. The two short-term bottoming tests also formed this round of top bottoming pattern, so you can take the opportunity to look for opportunities to intervene in long positions during the day.
Today, we will look for the low point of 26350-26300 hit over the weekend as an initial buying opportunity. The stop loss will be placed below 26000 to avoid a large pullback in the market. If it falls below 26000, we will look for lower points for buying opportunities. The upper exit point will focus on the high point of 26700-27000.
Ethereum:
The weekend's tug-of-war was not interrupted on Monday. June 19th was commemorated as "Juneteenth" in the United States to commemorate the liberation of black Americans. U.S. stocks continued to be closed today and market trading fluctuations remained small.
But on the weekly chart, today's weekly chart will be a good entry point for layout. The weekly line change caused it to weaken again in the morning to test the low support. This round of 1700 completed the defense again. The early trend of the weekly line is still bullish. This week's operations can continue to look for low-long buying opportunities.
Because of the impact of the "regulatory hammer" in the early stage, the panic sentiment in Ethereum caused the decline to be far greater than the trend of Bitcoin. After a short period of time, it is expected that Ethereum will rebound and make up for the rise, so we can pay attention to the rising opportunities at the 1800 line in the near future.
As for the buying opportunity, you can look for long positions near the recent low of 1720, and target the Fibonacci 0.382 upside of 1770-1800. Pay attention to the 1690 line below. If it falls sharply below 1700, consider exiting the market first, and then take the opportunity to buy later.