I set up a prompt to read this 1 hour chart in $ETH and this was its response
In this 1-hour chart of the ETH/USDT pair, some key points to consider from technical analysis:
Trend in moving averages:
The 7-period moving average (yellow) is below the 25-period moving average (pink), indicating a short-term correction or downtrend.
The 99-period moving average (purple) suggests a higher resistance level around $3,417.94, which could be a significant ceiling.
Recent Candles:
There is a recovery after touching a support at $3,304.63. However, the rejection at levels near $3,363 indicates selling pressure.
Consecutive green candles show a reversal attempt, but the volume is not strong.
MACD Indicator:
The MACD is in the negative zone (-1.65), with the histogram showing decreasing bars. This suggests that the bearish momentum is waning, but there is no confirmation of a change towards an uptrend.
Volume:
Although there is an increase in volume on some bullish candles, the total does not reflect strong buying interest, which could limit the continuation of the rise.
Supports and resistances:
Key Support: $3,304.63. If broken, the price could fall further.
Key Resistance: $3,363.33 and $3,417.94. These zones could be difficult to overcome without significant volume.
Suggested strategy:
Short term (scalping): Wait for a clean break of $3,363.33 with increasing volume to enter long. Alternatively, sell if the price clearly rejects this resistance.
Risk Management: Place a stop-loss below $3,304.63 if you decide to go long.
Caution: Since the MACD is still negative and the moving averages are aligned downwards, the overall trend could still be bearish.
If you are looking to trade on this time frame, it would be wise to wait for clearer confirmations before making any major decisions.