1.26 Midday Market Analysis

In the context of recent increasing global macro uncertainties, the market is undergoing a severe test. With the US government shutdown crisis and expectations of Federal Reserve liquidity injections, traditional safe-haven assets like gold and silver have hit new highs, which undoubtedly poses new challenges to BTC's "digital gold" narrative. The market generally believes that BTC may decline initially due to liquidity contraction during early volatility.
Bitcoin has also experienced evening price fluctuations over the weekend. During the daytime on the weekend, the price declined to around 89500, then retreated to around 88100, followed by continued incremental declines in the evening and early morning to around 88900, then further down to around 86000. In the early morning, it rebounded to around 87900 and oscillated.
Ethereum retreated from around 2960 to around 2785 after a short position, then rebounded to around 2898, currently oscillating around 2865. The trend is downward. Currently, the weekly K-line shows a shrinking bearish divergence with a solid bearish candle, the Bollinger Bands are moving downward, MACD continues downward, and the KDJ has turned dead cross downward. The resistance above is at 90000. Currently, the bearish momentum has shifted from positive to negative, leaving a shadow line and a doji bearish candle. The daily structure shows increasing bearish momentum, with Bollinger Bands gradually moving downward, currently touching the lower band with a rebound showing a bullish signal. The four-hour level shows shrinking bearish momentum with two consecutive down candles, Bollinger Bands moving downward, MACD trending downward, and KDJ forming a golden cross upward. The hourly level shows increasing bullish momentum. Overall, the trend is a bearish retreat, and it is advisable to follow the trend and enter high short positions!
BTC Trading Suggestion: Short at 87800-88500, stop loss at 89200, take profit at 86800-85200
ETH Trading Suggestion: Short at 2880-2920, stop loss at 2960, take profit at 2820-2750