BTC experiences a sudden waterfall-style correction! The rally to 74k failed, and bulls and bears are battling at the critical support level of 71k (Market analysis for April 12)

1. Market Overview (April 12)

Current Bitcoin BTC quote: 71,600 USDT. From the latest K-line trend, BTC experienced a rapid waterfall decline after hitting a high of 73,790, falling below multiple short-term support levels in a short period, with market sentiment clearly cooling down.

The core features of this decline are:

Rally to lure sellers → Rapid sell-off → Strong support retest

Currently, the price is attempting to stabilize in the 71,000—72,000 range, and the market has entered a short-term emotional recovery phase.

Key levels today:

Short-term resistance: 72,800 Strong resistance: 73,800 Short-term support: 71,000 Critical defensive level: 70,000

If 71,000 can hold, there is still a chance for the market to form a rebound structure.

2. Daily Chart Analysis (Mid-term Trend)

From the daily chart structure, BTC remains in a correction phase within an overall upward trend.

Recent daily trend has formed:

Higher lows + gradually rising highs

A typical bullish trend structure.

But it should be noted that the recent rise from 65,000 to 73,700 has been substantial, and the market faces some profit-taking pressure.

Current signals on the daily chart:

Long upper shadow at high levels Volume expansion during correction Diminishing momentum

This indicates the market is undergoing a phase of technical adjustment.

If the daily can hold above 70,000, the upward structure remains intact.

Potential daily targets:

Upside targets

74,000 76,000 78,000

Correction supports

71,000 70,000 68,500 3. 4-Hour Level Analysis (Core Trading Cycle)

The 4-hour chart is currently the most critical observation period.

Structurally, BTC previously formed an ascending channel, but the recent sharp decline has broken below the short-term lower boundary of the channel.

Market structure has changed:

Uptrend → High-level correction

4-hour candlestick features:

Large volume long upper shadow Significant short-term decline Market bulls showing clear profit-taking behavior

The current price is attempting to build a short-term support platform near 71,000.

If the 4-hour chart reclaims above 72,500

It may retest:

73,200 73,800

If it continues to fall below 71,000

It may retest:

70,000 69,000 4. 1-Hour Level Analysis (Short-term Trading)

From the 1-hour chart, BTC has just experienced a rapid waterfall decline.

Trend features:

Consecutive large bearish candles Volume significantly increased Short-term panic sentiment released

Currently, the price is forming an oversold rebound structure.

Key short-term levels:

Rebound resistance

72,200 72,800

Short-term support

71,000 70,500

If the 1-hour chart breaks through 72,200

A technical rebound may occur:

Targets:

72,800 73,200

If it falls below 71,000

It may trigger market stop-loss orders again:

Correction targets:

70,000 69,200 5. Main Capital Flow Behavior Analysis

Combining this K-line structure, it is clear to see the rhythm of main capital operations:

First phase: Pump to attract market sentiment

70,000 → 73,790

Second phase: Push high to lure sellers

Consolidation around 73,790

Third phase: Rapid sell-off

73,000 → 71,000

This pattern usually indicates a high-level shakeout.

The market’s main objectives are twofold:

Clear out high-leverage longs Reclaim low-position chips

If the subsequent price can quickly recover above 72,500, it suggests this decline is more likely a shakeout rather than a trend reversal.

6. Today’s Trading Strategies (April 12) Conservative Long Strategy

Wait for a pullback to support to go long:

70,800 — 71,200 long

Stop-loss:

69,800

Targets:

72,200 72,800 73,500 Short-term Rebound Short Strategy

If the price rebounds to:

72,800 — 73,200

Try shorting:

Target:

71,500

Stop-loss:

73,800

Breakout Follow-up Long Strategy

If the price re-breaks:

73,000

Go long:

Stop-loss:

72,000

Targets:

74,500 76,000 7. Key Technical Levels Today

Support zones:

71,000 70,000 68,500

Resistance zones:

72,800 73,800 75,000 8. Market Summary

Current BTC trend belongs to:

A high-level shakeout phase within an upward trend

Short-term market rhythm may be:

Rapid decline → Technical rebound → Re-evaluate direction

As long as 70,000 is not effectively broken, the overall bullish trend remains intact.

The most critical observation point moving forward is:

Can BTC re-establish above 72,500.