$ETH May 23 13:30 Market Analysis

ETH is currently in the final stage of an upward trend approaching a key resistance area after a bottom reversal. The high-level structure is beginning to weaken, and there are signs of divergence and structural loosening in the short term, necessitating caution against a high pullback.

On-chain data shows a very high proportion of long positions, with major holders concentrated on the long side, but active buying has significantly weakened, and trading volume has shrunk, indicating that the main players may be distributing at high levels under the guise of strength.

Main Player Behavior and Script Analysis

✅ Main Script (Bearish Repair)

The current ETH price has reached a densely structured area (Premium + previous high pressure zone);

Multi-timeframe momentum divergence is present, with 3m and 15m having entered a downward structure, and main players are suspected of reducing positions;

If it cannot quickly regain $2,700 and establish an effective higher low (HL), the first retracement target is $2,592, followed by $2,478;

Combining liquidation and CVD data, there is a high probability of a "trap for longs → distribution → liquidation" cycle.

🟡 Alternative Script (Long Trap Continuation)

If there is a strong pull in the short term, stabilizing above $2,697 for 3 minutes and breaking the previous high to form a new higher high (HH);

Then it might enter a rapid short squeeze pullback, impacting the Weak High area above $2,740;

But this must be combined with increased trading volume + synchronized OBV, as neither can be missing.