The recent crypto market has been somewhat stirred up by positive policy signals. In just 6 hours, market sentiment catalyzed a quick surge, but the question is—how far can this rebound go?



Honestly, the current market logic is quite clear: expectations of favorable policies have strengthened underlying market confidence, which can attract a wave of cautious funds in the short term. But don’t be fooled by the superficial prosperity; such news-driven rallies are very prone to triggering rapid high-frequency trading entries and exits, often resulting in sharp "pin" movements.

From a technical perspective, Bitcoin is currently facing a new resistance zone at $96,800-$97,200. If it can truly hold this range driven by sentiment, then $95,500 becomes a key support. However, once the sentiment wanes and it breaks below $94,800, the situation changes—the risk will significantly escalate.

Ethereum’s rhythm is similar, with $3,400-$3,450 as the new resistance, $3,260 as medium-term support, and below $3,200 requiring a reassessment of the trend.

Here are two strategies: aggressive traders can go long during high news sentiment, but must set stop-losses; more conservative traders might prefer to wait for the price to retest key supports before considering building positions, as the risk-reward ratio will be more favorable. The key is not to let short-term volatility dictate your judgment.
BTC-0,15%
ETH-1,26%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 5
  • Repost
  • Share
Comment
0/400
not_your_keysvip
· 20h ago
Short-term sentiment just wants to push you to rush in? Wait to get pierced, haha. Another wave of policy benefits to cut the leeks, just a routine, no need to expose it. Breaking below 94800 is really dangerous; this time I’ll wait for a pullback before going in again. Emotions are the most deceptive; a 6-hour rise and fall mean nothing. The thrill of getting pierced, I’ve had enough of that... Policy benefits = high-frequency trading in and out? I’ve heard this logic too many times. If the support level doesn’t hold, what’s there to talk about a rebound? To go long in the short term, you need to have courage and stop-loss; I choose to lie flat. This round is very similar to the last "positive signal," but what was the result... Still optimistic about ETH, wait for a pullback to 3260 before considering it. Why rush?
View OriginalReply0
BearEatsAllvip
· 01-21 18:51
Another policy news push, I just want to see how long it can last this time haha
View OriginalReply0
LiquidationWatchervip
· 01-21 18:50
Once again, this kind of news-driven, volatile market. A quick surge every 6 hours followed by a sharp dip to shake us out—I’m tired of it. Setting proper stop-losses is really important; otherwise, it’s easy to get caught and liquidated.
View OriginalReply0
NftMetaversePaintervip
· 01-21 18:42
actually the algorithmic beauty here is how policy sentiment functions as a generative input to the market's computational substrate... those resistance levels you mentioned? they're basically hash values in the blockchain primitive of price discovery, tbh
Reply0
SerLiquidatedvip
· 01-21 18:36
Once the policies loosen, they'll rush in. This time, they'll probably be injected again. I've seen through it long ago.
View OriginalReply0
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)