December 16 Morning Bitcoin and Ethereum Trading Suggestions and Directions

From the current market observation, Ethereum on the four-hour chart shows a long bearish candle breaking through the middle band of the Bollinger Bands, with the previous staged gains almost fully retraced. Although the price touched the lower band and showed a brief stabilization sign, the bearish momentum has not significantly weakened. Overall, the market remains in a consolidation pattern of oscillating downward. On the hourly chart, the consecutive bearish candles have effectively broken below key support levels, but the rate of decline has not accelerated, and trading volume remains near the lower boundary of the channel, indicating that selling pressure exists but is not out of control. Technical indicators continue to hover in oversold regions, with all moving averages in a bearish alignment and diverging downward, highlighting the potential for further downside. However, it should be noted that the rapid short-term decline has triggered some divergence in indicators. When prices reach critical levels, caution is advised for potential technical rebounds caused by short covering.

Trading strategy: maintain a cautious attitude, strictly control positions, consider light long positions on dips at key support levels, and set strict stop-losses to prevent potential downside risks.

Bitcoin around 86,000-85,500, focus on 87,500
Ethereum around 2,930-2,900, consider long positions, focus on 3,050