The market does not lie.
The drop of ETH is like the opening of floodgates.
The technical indicators are flashing red, and the news front is also turbulent!
News analysis:
Recently, ETH's downturn is not only due to weak technicals but also has deeper underlying reasons:
Macroeconomic pressure remains: The Fed's hawkish signals continue, putting pressure on cryptocurrency market liquidity, with ETH, as a high-volatility asset, bearing the brunt.
Ethereum ecological competition: Layer 2 competition intensifies (like Arbitrum, Optimism), ETH gas fee income decreases, and the market worries about its value capture ability weakening.
Regulatory shadow: The U.S. SEC's attitude towards Ethereum spot ETF approval is ambiguous, and investor sentiment is cautious.
Technical summary
Currently, ETH is teetering around 2760, with a comprehensive bearish technical outlook: the candlestick rebounds are weak, the Bollinger Bands are touching the lower band, the MACD has a death cross and is expanding, coupled with the risk of a critical liquidation zone, a break below could trigger a chain liquidation. High points are retreating + low points are testing; the downtrend is already apparent.
Is it time to buy the dip? Wait for these three signals! Either the price violently breaks through the mid-track at 2840, or the MACD green bars shrink and cross upward, or a long lower shadow reversal candlestick appears—otherwise, holding back is the way to win!
Operation summary: Currently, ETH is in a high-risk + low-return phase.
Shorts dominate + most news is bearish.
It is advisable to watch and wait. Short-term traders can take small short positions, while medium to long-term investors should wait for the price to stabilize above 2740 and for news to improve before gradually positioning. Remember: in the crypto market, surviving is the key to waiting for the next bull market!
