Ethereum's early session plunged below 2350, but before the report was released, it returned above 2400, currently priced at 2382. The short position is very obvious, and the bottom exploration has not yet ended. Some risks can be avoided, and Li Ying chose to avoid them, prioritizing safety. Initially, it was thought that Ethereum would not rise and would not fall either, but such a clear bearish trend unexpectedly emerged.
A7 starts with price trend analysis; the candlestick pattern clearly shows a downward oscillation trend. Everyone can refer to what Li Ying mentioned and check against the overall market. The daily candlestick has continuously closed in the red, and within the 4-hour cycle, several long upper shadows have appeared, indicating heavy selling pressure above and clear signs of large players exiting. The technical indicator MACD is below the zero line on the 4-hour chart, with both DIF and DEA in negative territory, and the MACD histogram has turned from positive to negative, which is what A7 often refers to as a bearish trend.
The relative strength index (RSI) is close to the oversold zone at 30 on the 4-hour cycle, but it has not entered the extreme zone. There is a demand for a rebound in the short term, but the rebound space is limited, making it unnecessary to take this risk. The trend indicators EMA for both 30 and 120 are diverging downwards, and the current price is below all moving averages, indicating an overall bearish trend. The trading volume has increased, especially with the 4-hour trading volume significantly expanding at the peak, indicating strong selling pressure at high levels. It is recommended to wait for confirmation of support after another bottom exploration before starting to go long. If there is no bottom exploration, then wait to try short positions after encountering resistance levels.
Short-term strategy reference:
Long entry at 2350, add position at 2300, stop loss at 2270, target 2500.
Short entry at 2500, add position at 2550, stop loss at 2580, target 2400.
Reason: Confirmation of support at previous lows allows for entry, with defense placed at integer support levels. The short entry point also belongs to the integer pressure level. Li Ying seeks stability and takes a steady approach. The content of the article is time-sensitive and for reference only; risk is self-borne.