Bitcoin

Data-driven significant pullback, short-term bearish dominance

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Yesterday's market suffered a setback primarily due to data:

- The U.S. trade deficit plummeted by 55.5% in April to $61.6 billion.
- U.S. imports dropped 16% from March to $351 billion in April, while exports rose 3% to $289.4 billion, resulting in the trade deficit figure.
- The subsequently released U.S. unemployment claims data showed initial jobless claims unexpectedly increased to the highest level since October last year, extending hiring delays.
- The combination of these two data points and news-driven sentiment caused prices to rally then reverse sharply, breaking down and recording the largest two-month decline. This also shifted the trend, with major timeframes signaling bearishness.

Today's perspective:

- Daily timeframe (macro trend): Yesterday closed with a large bearish candle, forming consecutive bearish candles with prices below moving averages and indicators showing a death cross. The bearish trend has regained dominance, with prices breaking below previous lows and disrupting the prior upward phase. A subsequent sideways-downward trend is expected.
- Short-term timeframe: Prices collapsed to the 10,0300 zone, rebounding on support in the morning. Current K-line shows consecutive bullish candles with indicators forming a golden cross, but prices are nearing resistance from the 4-hour moving averages. Based on market patterns, further bearish continuation and new lows are anticipated today, with limited upside rebound potential.


BTC/USD
sell@103000-103500
tp:101500-101000

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