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Bitcoin has been consolidating for 34 days, with the compression range getting smaller and smaller. The only question now is—where is it headed?
Looking at the technicals, the two most probable short-term scenarios are as follows:
**Blue Scenario**: This is a standard converging correction pattern. If this plays out, there will be a pullback tonight. The key is the strength of the decline; if the drop isn't too severe, this possibility will be significantly increased. At that point, I will look for opportunities to build long positions.
**Red Scenario**: The decline tonight could be deeper, followed by continued sideways movement down to the 12.28-12.30 range. After finding support near 84,000, it would then turn upward.
Of course, there are some extreme cases. For example, a sharp surge above 94,600, or a violent break below 84,000 down to around 80,600—these could happen, but the probability is low. As a trader, I consider these extreme movements only for risk management reference, not as primary basis for opening positions. When actually trading, the focus is on strictly controlling risks to prevent black swan events. I won't go into the specific operational details here.