On Wednesday (April 8th) during Asian trading, US crude oil traded around $95.77 per barrel. Prices fell sharply from their intraday high, quickly dropping below $100 from above $108, marking the largest single-day drop since the start of the conflict. The core trigger for this dramatic price adjustment was US President Trump's announcement of a two-week suspension of military action against Iran. This decision significantly eased previously heightened geopolitical risk sentiment in the market.

In fact, oil prices had already been declining throughout the day before the official announcement. Market participants gradually reached a consensus that the policy level might again consider extending the deadline. In previous similar events, strong statements were often accompanied by policy easing near the deadline, causing funds to position themselves in risk assets in advance, pushing energy prices back to their previous gains.

On the daily chart, after a rapid rise, US crude oil prices have entered a high-level consolidation phase and have now fallen back to near a key support area. The $90 level is a significant support level; a decisive break below this level could trigger a trend-driven sell-off, further opening up downside potential. Resistance is concentrated around the $108 area, a level that has previously suppressed price rebounds multiple times. From a momentum perspective, upward momentum has clearly weakened, and the market has entered a rebalancing phase after the release of pent-up emotions.

Crude oil's short-term (1-hour) price action saw a sharp drop, falling directly from above 110 to around 70. The moving average system is diverging downwards, indicating a short-term objective downward trend. The MACD indicator has crossed below the zero line, demonstrating strong bearish momentum. It is expected that crude oil will mainly fluctuate downwards below 100 during the day. Today's trading strategy suggests focusing on the 97.5-98.0 resistance level and the 85.0-84.5 support level.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.