Evening of 12.7

From the 1-hour K-line cycle and technical indicators, Bitcoin is showing a short-term weak pullback trend. Recently, the price surged to 90257 and then quickly retraced, with several consecutive long-bodied bearish candles, forming a "surge and pullback" bearish-dominated pattern. The latest K-line has broken below the middle band of the Bollinger Bands at 89473, currently near the lower band at 89049, indicating strong short-term downward momentum. The price has fallen from the upper band to near the lower band, and the bands are flattening, suggesting that the short-term consolidation range has been broken, increasing the probability of a downward breakout.

The KDJ indicator's J line has quickly dropped to a low level, and the K line is crossing below the D line, forming a death cross, reflecting a short-term oversold condition but with the bearish trend intact.
The MACD histogram is positive but continues to narrow, showing that bullish momentum is rapidly weakening and is about to enter bearish territory.

In the short term (1-4 hours), the retracement and consolidation trend is likely to continue: if the price breaks below the lower Bollinger Band at 89049, it may further test the previous low at 88870. If it can hold the lower band support, a slight rebound may occur, but the rebound will be limited by resistance at the middle band at 89473, making it difficult to reverse the short-term weakness. It is recommended to consider light short positions near 89831--90635, with targets around 88233--87132.

The above is for personal reference only and not investment advice. Please refer to Haoyu Shipan’s layout for specifics! #BTC $BTC