I will analyze the technical aspects and provide trading recommendations for $ETH :
**1. Overview Analysis:**
- Current price: 3394.26 USDT
- RSI(6): 70.38 (overbought zone)
- MACD is signaling a bearish divergence with the price
- Trading volume is gradually decreasing in recent candles
- Bollinger Bands are narrowing, indicating that volatility may increase
**2. Possible scenarios in the next 4-24 hours:**
Scenario 1 (Probability 60%): Downward correction
- Downward target: 3225-3250 (-5%)
- Confirmation signs:
+ RSI creates a bearish divergence peak with the price
+ Selling volume increases sharply when the price hits resistance at 3400
+ The price fails to break through resistance at 3400 with large volume
Scenario 2 (Probability 40%): Continued increase
- Upward target: 3560-3575 (+5%)
- Confirmation signs:
+ Volume spikes when the price breaks 3400
+ RSI does not create a bearish divergence peak
+ OBV increases sharply, confirming the trend
**3. Trading recommendations:**
In the short term:
- NOT RECOMMENDED TO LONG at the current price due to:
+ RSI is in the overbought zone
+ Weak trading volume
+ Currently at strong resistance area 3400
- RECOMMENDED TO SHORT if:
+ Price breaks below 3375 with large volume
+ Stop loss: 3420
+ Take profit: 3250
Good entry point for long:
- Area 3250 (+/- 25) if there are signals:
+ RSI creates a bullish divergence bottom
+ Volume increases sharply when the price returns to test support
+ Stochastic creates an oversold signal
Further monitoring needed:
- Trading volume trends
- The formation of price patterns
- Divergence signals on RSI