RSI has reset and reignited bullish momentum after consolidating in the $3,200â$3,500 range, suggesting renewed upside fuel!
Short squeeze is in full swing: The Kobeissi Letter highlights a whopping ~$1âŻbillion in short positions ready to be liquidated if ETH pushes another 10%, propelling it toward $4,000.
Whale & institutional inflows: Surging wallet accumulation, spot ETF inflows (e.g. $727âŻM in one day!), and sharp institutional buys like SharpLinkâs ~80K ETH top-up, signal strong underlying demand.
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đ Key Chart Levels & Trade Setup
Level Significance
Support: $3,650â3,720 Trendline + 100âhour MA; holding here confirms bounce
Resistance zones $3,860â3,920 first; break above opens the path to $3,950â4,000
Major breakout target Clearing $4,000 may lead to further gainsâpossibly $4,200+
đ Bullish Scenario: ETH stays above $3,720, breaks past $3,920â3,950, then surges toward $4,000 and above.
â ď¸ Bearish Trigger: Breach of $3,650â3,700 could spark a pullback to $3,500â3,600 or lower.
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đŻ Recommended SquareâStyle Trade Plan
**â Entry**: Near major support â $3,700â3,720
**đ StopâLoss**: Below trendline, around $3,650 (risk control)
đŻ TakeâProfits:
TP1: $3,950â4,000 â first breakout zone
TP2: $4,100â4,200 â if momentum continues
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đ§ Why This Setup Fits Binance Square
Clean RSI reset + momentum pick-up = textbook setup
Short squeeze adds extra fuel potential
Balanced approach with clear support, resistance, and risk controls
Backed by both technicals and onâchain/flow data
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â ď¸ Risk & Cautious Notes
Analysts warn about overheatâmomentum too hot could spark a reset or consolidation before continuing
A dip below trendline support invalidates the bullish thesisâsmart to trim or stop if that happens
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đŹ Join the Square Family Chat!
Will you buy dips near $3,700 or wait for a decisive breakout?
Do you trust the short squeeze mechanics, or are you bracing for a correction soon?
What risk management strategies are you using? Share your charts, setups, and insights below! Letâs learn, grow, and ride together! đđŹ
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đ Final Take
Ethereumâs RSI momentum reset, bullish trendline support, massive short squeeze, and institutional inflows create a compelling case for a push toward $4,000. A structured Squareâstyle trade with clear entries ($3,700â3,720), stops ($3,650), and targets ($3,950â4,200) aligns with our balanced, communityâcentric approach. Stay disciplined, stay friendlyâand letâs aim high together! đâ¨