$BTC The market is extremely weak, but short-term oversold conditions are severe, with increased resistance to decline. The likely scenario is a rebound first, then a test of the bottom. The overall trend is downward, with a rebound on smaller timeframes. In terms of operation, focus on defensive counterattacks and control position sizes.

Trading Recommendations

1. Short-term traders:
· Existing short positions: Consider taking profits in stages, as severe oversold conditions increase the risk of chasing a decline.
· Betting on a rebound: Try with a small position, entering around 65,800-65,900, with a stop-loss below 65,500. Targets are 66,600-67,200; quick in and out.
· Note: The rebound is most likely a technical pullback rather than a trend reversal. Avoid getting too attached.
2. Mid-term investors:
· Stay on the sidelines. The EMA30 is trending downward (67,912), with no bottom structure visible. Wait for a daily-level divergence or increased volume to break above EMA30 for a safer opportunity.
3. Key observation points:
· Whether the next 2-3 one-hour K-lines can stay above 66,000.
· Whether MACD can form a golden cross, with DIF crossing above DEA.
· During the rebound, whether volume gradually increases; a rebound without volume is prone to failure.