👉ETH Shocked in 1 Hour! The Fatal Trap and Opportunities Behind the 7% Plunge✨
Last night, the cryptocurrency market was hit by a "blood rain and wind", with the price of Ethereum (ETH) plunging from $2550 to $2363 in just 1 hour, a 7% drop that severely impacted investors' assets. This plunge had technical signals beforehand.
The $2550 level formed a triple top, and while the price reached a new high, the 1-hour RSI indicator diverged, indicating that upward momentum was exhausted. When the $2500 support level was breached, a large number of programmed stop-loss orders were triggered, causing trading volume to surge by 300%, leading to a wave of sell-offs.
Moreover, fluctuations in the US stock market acted as the trigger for the plunge, with US retail data falling short of expectations causing the Dow Jones to drop 427 points in half an hour. With a correlation of 87% to the US stock market, ETH could not escape its fate, and a massive $13 million sell order appeared on the platform, while 78% of crypto funds rushed into US Treasury bonds for safety.
Currently, $2363 has become the lifeline for ETH. This price level is the main cost area for major players, with 452,000 ETH accumulated. If this level is held, there is hope for stabilization between $2400 and $2500; if lost, it may drop to $2200.
Retail investors need to remain cautious and avoid blindly bottom-fishing, with a stop-loss set below $2340; keep a close eye on whale movements; pay attention to next week's Federal Reserve minutes and CPI data. If these do not meet expectations, ETH may face greater downward pressure, and a rational response is necessary to seize future opportunities.
If anyone feels confused by the market fluctuations and does not know how to respond to being trapped, or feels misled during the trading process, feel free to communicate!
