It's been several days since I last updated everyone on the live trading strategy, so I want to apologize to my brothers. Recently, the Ethereum market has been very chaotic, and my own live trades haven't been ideal either. I'm worried that casually sharing strategies might delay everyone's principal, so I've been holding off on updates and making adjustments.
In the past few days, I haven't been obsessively focusing on mainstream contracts; instead, I shifted to arbitrage with stablecoins, and the overall returns have been relatively steady. Actually, trading is like this: if you can't catch fish in one pond, switch to another pond in time. Wherever there is capital opportunity and profit potential, that's where we should deploy. There's no need to stubbornly stick to a particular market, wasting patience and principal.
Considering the current overall market situation, my core idea today is very clear: avoid blindly chasing short positions, and prioritize buying on dips to set up long positions. Currently, the overall market is weak, with continuous downward trends. At this point, blindly opening long positions is extremely risky and can easily get caught in short-term sell-offs. Therefore, patiently waiting for the market to dip and give support at low levels before going long is a safer and more prudent approach at this stage.
Strategy reference $ETH
Buy longs in the BTC range of 75,300-75,800, with a stop at 74,480, aiming for the first target of 77,200, and looking to break through to 78,500 on a trend-following basis.
Buy longs in ETH at the low range of 2,212-2,228, with a stop at 2,172, targeting 2,288, and after volume breakout, aiming for 2,320-2,350.
Why choose these two pin-point long entry positions? First, from a technical pattern perspective, the short-term market weakness and pullback are healthy corrections. The four-hour key support levels align perfectly with our suggested long entry zones. After continuous decline, indicators are gradually entering oversold territory, with bearish momentum weakening, and a rebound or correction could happen at any time.
Looking at the actual buy and sell order book, recently, during the market's downward trend, the short-term selling pressure from short-sellers above was concentrated and released. However, in our planned low-level zones, there are hidden support buy orders from institutions and large funds. Once the price dips into these zones, passive buy orders will flood in, making it difficult for the price to break down further. Conversely, the resistance levels above are filled with retail traders piling up short orders. During rebounds, selling pressure will surface, but at low levels, there is no sustained selling momentum.
Finally, regarding market trading sentiment, currently, retail traders across the internet are generally panicked, with a strong bearish sentiment. Most are frantically cutting losses or chasing short positions. Under this extreme panic, the bearish force has basically been exhausted.
