Early morning market analysis

The market is clearly in a bearish trend now, and the downward momentum has strengthened after the price broke below the key level. The short-term rebound is merely to build momentum for further declines. The four-hour candlestick chart is being suppressed by the lower channel, and the bearish trend structure is very complete. The MACD indicator has shown a bearish divergence signal, and the downward pressure is increasing.

In the hourly timeframe, the bears are in control, with prices being held down by the zero line. The rebound lacks strength and is easily subjected to selling pressure; everyone is quite cautious about the market, with funds withdrawing from high-risk assets, and the slow decline continues.

Both the technical indicators and the capital flow indicate that the decline will continue, and the rebound is just a temporary technical adjustment. In terms of operation, don't think about catching the bottom; instead, short when the rebound occurs. If the key support level is broken, there will be more downside potential. It is more reliable to follow the trend and trade before a trend reversal.

Trading suggestion: Short in the range of 88400-88900, with the initial target around 86000. $BTC