At 20:00 yesterday, a huge bearish candle smashed through the market: • BTC plunged from 81,225 to 78,660, a drop of -2.21%, with volume of 8,378 BTC • ETH fell from 2,523 to 2,431, a drop of -2.82%, with volume of 177,000 ETH After that, 4 candles moved sideways on shrinking volume, with weak rebound momentum
1️⃣ Wyckoff Perspective A sharp drop with huge volume = a classic Selling Climax The subsequent sideways movement on shrinking volume = Automatic Rally phase But the AR was extremely weak (rebound less than 1%), which does not look like active accumulation It is more like a passive rebound after distribution → may retest the lows later ⚠️ Watch whether 78,660 can hold; if broken, it enters a second round of selling
2️⃣ 2B Rule Assessment BTC’s key support at 80,500 has been broken and has not been reclaimed There is currently no 2B buy signal Potential 2B condition: price breaks below 78,660 and quickly pulls back above 79,000+ → only then would it form a 2B reversal Similarly for ETH, it needs to break below 2,431 and quickly recover above 2,460+ to have a 2B buy setup Current stance: wait and observe, no 2B signal
3️⃣ Dow Theory Short-term cycle: consecutive lower highs and lower lows → a short-term downtrend has been established BTC needs to reclaim 81,225 to reverse the short-term bearish structure ETH needs to move back above 2,523 to confirm a reversal The medium-term trend still needs observation; the 78,660-81,000 range will define the direction
🛡️ Trading Strategy ▸ For existing holders: set a stop-loss at 78,660; reduce position if broken ▸ For those flat: do not rush to buy the dip; wait for the result of the 78,660 test - Hold above + rebound with volume → try a small long position (stop-loss at 78,000) - Break below → wait for the 75,000-76,000 range before considering entries ▸ The ETH/BTC ratio continues to weaken; the risk of ETH lagging further is higher than BTC
⚠️ BTC Breaks Below 78,000—Are the Bears Accelerating or Is It a Bull Trap?
📊 Market Snapshot BTC Current Price: $77,260|4H Range: 76,420–79,220 ETH Current Price: $2,411|4H Range: 2,383–2,486 Funding Rate: BTC 0.0073%|ETH 0.00007% (Long/short nearly balanced)
1️⃣ Wyckoff Perspective BTC fell for 4 consecutive 4H candles, dropping from 79,220 to 77,260, with trading volume increasing (2651→3120→3108). This is a typical marked-down phase after distribution (SOW). 76,420 is the recent low—if it’s tested again and breaks down on rising volume, it would confirm a second distribution structure. ETH is moving in sync, weakening from 2,486 down to 2,410, showing an even clearer bearish character—while the ETH/BTC ratio continues to trend downward.
2️⃣ 2B Rule Assessment The key BTC support at 78,000 has been decisively broken (a level previously tested multiple times that has turned from support into resistance). If the 4H close can’t reclaim 78,000, the 78,000–78,500 area will form a 2B bearish signal. Below, 76,420 is the final line of defense—if it breaks, it opens up the 75,500–76,000 space. On the ETH side, the 2,450 support has been lost. With the 2B confirmation favoring the bears, look for downside toward 2,380.
3️⃣ Dow Theory 4H timeframe: Both BTC and ETH have formed lower highs and lower lows, so the downtrend continues. BTC high sequence: 79,220→78,658→78,424→77,976→77,512 BTC low sequence: 78,500→77,510→76,420→76,920→77,255 Note: the latest low at 77,255 is higher than 76,420, which may be an early signal that bearish momentum is weakening. However, the downtrend shift can’t be confirmed until 78,500 is reclaimed.
🛡️ Trading Plan • Bearish view: If price rebounds into the 78,000–78,500 area, consider shorting with a small position; stop loss above 78,800 • Bullish wait: If 77,255 can hold and the 4H candle turns bullish, you may try a small long; stop loss below 76,000 • ETH is clearly weak—don’t rush to bottom-fish • Watch for sentiment transmission from today’s U.S. stock market open
4H range: BTC 77500-78330: After a tight consolidation, a breakout with increased volume late in the evening pushed the high to 78725 ETH 2432-2460: Strength moved in sync, holding above the 2460 support
1️⃣ Wyckoff perspective BTC completed accumulation in the 77500-78300 range (multiple 4H doji/cross candles + reduced volume). Late-weekend evening saw an up move with a volume expansion breaking above 78600, which matches the markup initiation characteristics. If the subsequent pullback to 78100-78300 holds without breaking, it confirms the accumulation zone remains valid, and the next targets are 78800-79200. ETH started from 2435 in sync with BTC’s pace; 2460-2470 is the short-term supply zone.
2️⃣ 2B rule assessment Previously, 78330 was the short-term high for BTC. This time, a volume-expanded breakout above it and holding above 78600 produced a valid 2B breakout signal. If a 4H close holds above 78330, the probability of a false breakout drops, and the long-side structure is confirmed. ETH is similar: the prior high at 2458 has been broken, so the 2B bullish case holds.
3️⃣ Dow Theory BTC gradually raised the lows from the 77506 low (77506→78062→77962→78165). Higher lows plus a breakout above the 78330 high indicates the continuation of the rising structure. Although overall volume is relatively low (weekend effect), volume expands at the breakout, with volume-price coordination. ETH rose gradually from 2430 to 2465, with peaks and troughs moving up together—confirming the trend.
🛡️ Trading plan • BTC long: On a pullback to 78100-78300, try a small long position; stop loss 77800; targets 78800 / 79200 • BTC short (cautious): It’s not advisable to chase a short above 78600; wait for a supply test at 79200-79500 • ETH long: Hold longs above 2460; stop loss 2440; targets 2480 / 2500 • Weekend volume is relatively thin—breakouts need Monday confirmation; keep position size within 50%
1️⃣ Wyckoff perspective After accumulating around the 78,500 area, BTC entered the Markup phase. The breakout above the 80,000 psychological level came with increased volume (4H trading volume: 4,528 BTC, the highest recently). This is a typical Wyckoff JOC (Jump Across Creek) signal. Currently consolidating above 80,000—if it can hold the 79,500 creek support, the uptrend is likely to continue. ETH is moving stronger in parallel but with weaker momentum; there hasn’t yet been a comparable breakout with volume.
2️⃣ 2B rule judgment BTC 4H: A resistance formed near the prior high of 80,850, and the current price of 80,417 is testing that area. If it can break above 80,850 effectively and then retest without losing 80,000, the 2B long structure is confirmed. If it fails here and falls back, breaking below 79,500, it may be a false breakout. For ETH, it was rejected near 2,566 and pulled back; the 2B short signal remains—needs to reclaim 2,533 to turn things around.
3️⃣ Dow theory On the BTC 4H timeframe, the chart clearly shows higher highs (78,475→79,082→80,302→80,417) and higher lows (77,632→78,200→78,546→79,749). The main breakout trend remains intact. The daily timeframe also confirms this: the previous day’s high is 80,848, and today is challenging it. ETH’s price action is similar but more volatile, ranging between 2,488 and 2,566.
🛡️ Trading strategy • BTC longs: 80,000-80,250 is the support zone; stop-loss reference below 79,500; targets 81,200-81,800 • If BTC loses 79,500: avoid longs; it may retest the 78,500 support • ETH longs: 2,500 is support; if it stands above 2,533, you can add positions; target 2,566 • Overall bullish bias, but 80,850 is the key pivot—keep position sizing controlled until it breaks