Ethereum (ETH) market analysis and operation suggestions on July 20, 2024
Market Analysis
Daily analysis (D1)
Price trend: Ethereum showed a clear V-shaped reversal pattern on the daily chart, rebounding from the previous low of $2880.00 to the current $3499.18.
Moving average system: The 10-day moving average and the 20-day moving average are crossing upward, and the 50-day moving average is gradually flattening and is expected to form a golden cross. The 200-day moving average is still at a high level, but there are signs of flattening.
MACD indicator: The MACD line shows a continuous upward trend above the zero axis, and the red momentum column gradually expands, indicating that the market buying power is strong and the market is expected to continue to rise in the future.
Four-hour analysis (H4)
Price trend: On the four-hour chart, ETH price maintained a steady upward trend and hovered around $3499.18.
Moving Average System: The moving average system shows a bullish arrangement. The price is supported by the 10-hour moving average many times, indicating a strong short-term upward trend.
MACD indicator: MACD fast and slow lines continue to diverge above the zero axis, and the red momentum column continues to increase, showing strong buying momentum.
One-hour analysis (H1)
Price trend: On the one-hour chart, ETH price maintained a high level of shock after breaking through $3,400.00 and is currently consolidating around $3,499.18.
Moving average system: The short-term moving average system also shows a bullish arrangement, and the price is running close to the 20-hour moving average, indicating a good short-term upward trend.
MACD indicator: MACD line has formed golden crosses above the zero axis many times, and the momentum column has increased in volume many times, indicating that short-term bullish sentiment is still dominant.
Recommendations
Short-term operation suggestions
Long strategy:
If the price breaks through $3,650.00, consider following up with a long position, with a target price of $3,800.00 and a stop loss set below $3,550.00.
If the price pulls back to around $3350.00 and shows signs of stabilization, you can consider entering the market on a low basis, with a target price of $3500.00 and a stop loss set below $3300.00.
Short strategy:
If the price is blocked around $3,650.00 and shows obvious signs of a pullback, consider shorting with a light position, with a target price of $3,400.00 and a stop loss set above $3,700.00.
Mid-term operation suggestions
Long strategy:
Hold the existing position and observe the price performance around $3650.00. If this resistance level can be effectively broken, the target price can be raised to above $4000.00.
If the price fails to break through $3,650.00 and there is a significant correction, you can choose to add positions in batches near the support level.
risk control
Strictly abide by stop-loss discipline to prevent losses caused by sudden market fluctuations.
Flexibly adjust positions according to market changes to avoid risks brought by excessively concentrated positions.
in conclusion
Overall, Ethereum (ETH) is currently in a rebound phase and is expected to continue to rise in the short term, but attention should be paid to the breakthrough of the key resistance level of $3,650.00. Investors are advised to combine technical indicators and market sentiment in their operations and respond flexibly to market changes.
