Recently, the market performance of Bitcoin and Ethereum has been remarkable, showing strong upward momentum. However, in this seemingly optimistic situation, investors still need to remain vigilant and carefully assess the potential pullback risks.

In terms of Bitcoin, the strong pump over the past four days has pushed its price from the range of 107,000 to 108,000 to around 117,500, which is a remarkable increase. From a technical analysis perspective, the bullish trend continues, the MACD indicator shows a bullish situation, and the candlestick is above the moving average, keeping the overall structure intact. However, the current price has reached a high-density trading area from the previous period, and the risk of chasing the pump in the short term is gradually increasing. From a longer-term perspective, the current trend is quite similar to the early stage of the previous bull market, but after a rapid rise, the market may need some time for a pullback to digest the profit-taking.

Ethereum has rapidly risen from around 2500 USD to the 3000 USD mark, driven by the strong upward movement of Bitcoin, with its trend highly synchronized with Bitcoin. In comparison, the resistance area above Ethereum is relatively loose, with the next major resistance level around 3500 USD, indicating that there is still upward space in the short to medium term. From a technical perspective, Ethereum also shows a typical bullish trend structure, and the current pullback has not yet formed a trend reversal signal.

For investors, it is not advisable to blindly operate these two cryptocurrencies at the current stage. It is recommended to patiently wait for the market to consolidate or for technical corrections to complete before cautiously choosing the entry timing. It is particularly important to note that virtual currency trading may face legal regulatory issues in certain countries and regions, posing a high market risk. Investors must carefully assess their own risk tolerance.

Overall, although Bitcoin and Ethereum have performed well recently, market volatility and uncertainty still exist. Investors should closely monitor market trends, manage risks effectively, and fully understand relevant laws and regulations as well as market risks before making any investment decisions.