Brothers, did you see last night's ETH plunge?
It was truly jaw-dropping — just as it touched 2550, it suddenly dropped to 2363, falling nearly 7% in an hour, nearly 200 dollars just gone, comparable to a roller coaster!
Many people ask: What happened? Let me explain clearly today 👇
📉 The technicals have already buried mines, the market is just 'at the end of its strength'.
🚫 2550 is a 'iron lid'.
Look at that 2550, it surged three times in three days, each time failing.
It's like chasing a girl; if you ask her out three times and she doesn't come, if you ask a fourth time, you'll either hit a snag or get blocked!
What does this indicate? The bulls have long lost their strength, and market confidence is being repeatedly consumed.
⚠️ Top divergence: Stepping on the gas pedal, but the car speed slows down.
Looking at the 1-hour chart, the price has reached a new high, but the RSI indicator is declining — this is a top divergence, the market is 'forcing a surge' without matching trading momentum, which is a serious warning sign.
💥 Final blow: Breaking below 2500, the stampede begins.
When the price breaks below the 2500 support level, trading volume suddenly increases. A large number of stop-loss orders are triggered, just like knocking down dominoes, causing a chain reaction.
Retail investors panic and sell when they see a breakdown, further amplifying the downward trend!
🧨 The US stock market's plunge is a precise 'detonator'.
🔎 Where is the problem?
Last night at 21:00, the US released retail sales data — worse than expected!
The Dow instantly plummeted by over 400 points, the situation is even worse than A-shares!
🧬 ETH and US stocks: wearing the same pants!
ETH's correlation with US stocks is now as high as 90%! Why?
Because many of the major investors behind it are institutions — they hold both US stocks and ETH.
When US stocks plunge, the first reaction of institutions is to clear risk assets for hedging, and ETH is the first to be affected!
💰 On-chain solid evidence: Someone dumped 5000 ETH in one go!
At that time, a massive sell order of 5000 ETH appeared on Coinbase; can ordinary retail investors pull that off?
It is obviously institutions urgently stopping losses, dumping and fleeing!
The timing also aligns:
The exact moment ETH broke below 2500 was **exactly when US stocks began to plunge!** Perfect alignment!
🧠 What to do next? Keep a close eye on this key range!
ETH is currently oscillating around 2363, this is very critical!
🧱 Historical support: This range is not appearing for the first time.
Looking back to January this year, ETH repeatedly consolidated in the 2360-2380 range, forming an important support zone.
🔎 On-chain chips: This is the 'den' of the big players!
On-chain data shows that over 450,000 ETH have accumulated between 2360-2380!
This is very likely an institutional accumulation zone; they also don't want this cost zone to be easily breached.
🎯 Trading suggestions & risk reminders:
Tonight's US stock market opening is crucial! Two directions:
✅ Situation 1: US stocks stabilize, ETH holds above 2360.
👉 There is a high probability of an oversold rebound; you can try to position lightly for a counter-trend.
❌ Situation 2: US stocks crash again or ETH breaks down below 2360.
👉 Get ready to welcome the next stop at 2300 or even lower, don't rush to catch the bottom!
📌 Brothers, the most terrifying time in the market is often when there are the most opportunities.
But the premise is that you need to stay calm, understand, and manage your positions well.
Will you be watching the market tonight?
Comment and chat, where do you think ETH will go next? 👇
