Ethereum's Long and Short Game Under High-Position Fluctuations: Technical Support and Strategy Assessment
Despite the current high-position fluctuation of Ethereum (ETH) price, it exhibits strong resilience.
Although the price is in a historical high range, technical indicators have fully released the pressure from previous gains, indicating limited potential for a pullback. Market observations suggest that the current trend may have the potential for a short squeeze, with main funds cleaning up floating positions through short-term price fluctuations.
From a technical analysis perspective, the completion of indicator repairs has effectively controlled ETH's downside risk.
It is recommended that investors adopt a "bearish but not short" strategy, avoiding blind participation in short trades during the fluctuation period.
After a reasonable pullback in price, investors can layout long positions in conjunction with key support levels to seize trending opportunities and achieve a balance between risk and reward.
