The cryptocurrency market experienced a significant fluctuation last night. Bitcoin and Ethereum prices saw a notable increase in a short period, followed by a decline. This surge was mainly triggered by sudden news rather than fundamental changes in the underlying market.

Bitcoin soared to around $27,296, with an increase of over 5,000 points. Ethereum also climbed to about $1,779, rising approximately 500 points. However, following this sharp increase, the market immediately entered a correction phase.

From a technical perspective, the four-hour chart shows a strong bullish candlestick pattern, but there is a long upper shadow, suggesting that the upward momentum may have weakened. The one-hour chart indicates a three consecutive bullish candlestick breakout above the upper Bollinger Band, but such a strong upward movement is difficult to sustain.

Market analysts expect that after the news impact diminishes, prices are likely to enter a correction phase. Investors are advised to remain cautious and pay attention to the possibility of a pullback from high levels. For short-term traders, it may be worth considering setting short positions at high levels, but it is essential to pay attention to risk management.

Overall, although the night market has experienced significant fluctuations, this may only be a short-term phenomenon. Investors should analyze calmly and not be misled by short-term fluctuations. In the long run, the cyclical characteristics of the cryptocurrency market still exist, and the market may usher in new opportunities in the future after experiencing a winter. However, in the current environment of severe volatility, risk management is particularly important.