ETH Strong Surge, Can This Rally Continue?
The recent rebound in Ethereum hides some mysteries, as the price is nudging upwards along key moving averages, giving an outwardly optimistic trend. However, upon closer inspection, there is a thick wall of buy orders at 2100, while the upper levels are so empty that a horse could run through—indicating that the main force isn't really intending to charge.
Pulling off three big bullish candles is indeed fierce, but yesterday's doji candle resembles a sudden brake mark: the MACD red bars are still extending, the bullish engine hasn’t stalled, but the RSI has soared into the overbought zone at 70+, akin to a sports car with the gas pedal floored, it’s time to ease off a bit. On-chain data shows that large holders are secretly adding positions near 2355; this defensive level may be stable, but trading volume is starting to lag behind, so be cautious of a potential reversal in the market.
Currently, this market is like the main force walking a tightrope with retail investors, with spikes up and down treating various discontent.
Smart money either locks in a range to make short-term trades or pulls up a chair to watch the main force perform. Remember, before a significant volume breakout above key resistance levels, all rallies are paper tigers.
