Friends in the crypto community, this market is more thrilling than a roller coaster lately, and Ethereum (ETH) is undoubtedly the focus of this crazy journey! Today, as a seasoned crypto analyst, I will take you deep into the latest situation and market trends of ETH, which may contain key information that could change your wealth pattern. Make sure to pay close attention!
From the price performance perspective, ETH has indeed been fluctuating recently. Not long ago, the Federal Reserve announced the interest rate decision, which instantly stirred up waves in the market. ETH's price plummeted like a runaway wild horse, diving straight down from a high of 3670 dollars, which scared many investors so much that their hearts nearly jumped out!
However, unexpectedly, just a few minutes later, ETH staged a remarkable comeback, quickly rising to complete a textbook 'deep V rebound', soaring back to 3760 dollars, and then stabilizing in that range, oscillating for a full three hours. This intense fluctuation felt like a meticulously planned psychological battle, with retail investors panicking and selling off their holdings, while the major players quietly accumulated a large amount at lower levels, laying the groundwork for subsequent market movements.
Next, looking at the technical side, there are even hidden mysteries. When I closely observe the 1-hour K-line chart of ETH, an exciting signal has emerged—a standard W bottom structure is almost formed! For those with a bit of technical analysis background, the W bottom is a classic bullish reversal signal.
After a round of market decline, two relative lows have appeared, and the second pullback did not break the previous low, then it surged and broke through the intermediate high point. This is the standard form of a W bottom. Currently, ETH not only did not break the previous low but also showed obvious signs of increased trading volume. What does this mean? It indicates that major funds are entering the market with real money, and a grand performance is about to begin!
From a structural analysis perspective, the market is currently showing three key signals. First, the outline of the W bottom is becoming increasingly clear, and the trend resembles the golden rebound market from early 2023. History is often remarkably similar; does this indicate that ETH is about to start a new wave of upward momentum? Second, the pullback did not break the previous low, indicating a clear intent from the major players to protect the market. Those retail investors lacking conviction have been washed out, while smart investors remain quietly steadfast, waiting for the moment to reap rewards.
Third, signs of increased trading volume are starting to show, with transaction volume gradually expanding. This is strong evidence of bottom-fishing funds entering the market, and the market's enthusiasm is gradually increasing. The key 'final push' for all this is at the neckline of 3880 dollars! Once ETH strongly breaks through this point, a new round of major upward momentum will officially start, with a short-term target aimed at 3900 dollars, and even 4000 dollars is not out of reach.
However, we also cannot ignore some risk factors in the market. Recently, the liquidation amount for ETH has been continuously rising. While prices have significantly increased, there have been large-scale liquidations in the contract market, as many investors blindly chase prices during the rise, with high leverage operations ultimately leading to huge losses. Additionally, the actions of whales in the market are constantly influencing price trends, as some large holders choose to close positions before price fluctuations, indicating their vigilance towards market uncertainties and risks.
In my opinion, ETH is currently at a critical turning point. If it breaks through 3880 dollars strongly, today could very well become an important node for the market to transition from 'consolidation to rise', with a significant upward trend about to unfold; conversely, if it is suppressed again, it indicates that the major players are still patiently brewing, and it may continue to consolidate for a while. However, once the consolidation ends, the possibility of a surge remains high.
Moreover, a super critical policy announcement is about to be released tonight. Currently, the market has a consensus expectation leaning towards a positive direction. Once the news is announced, it is very likely to serve as the 'final push' for ETH to break through the 4000 mark.
So, how should we operate in the face of such a complex and volatile market? For friends who are out of the market, the current vicinity of 3860 is a very good trial position, allowing for light buying and setting a stop-loss (recommended below 3800). The initial target should be aimed at 3900 dollars, and after breaking through, we can look at 4000 dollars. Remember, do not wait until it breaks 3880 to enter, or you may miss the best opportunity.
For friends who already hold ETH, what is most needed at this time is to maintain confidence and not easily exit. 3880 dollars is the current key turning point. Once it breaks, it will bring significant upward space in the short term. Holding onto your positions is akin to holding onto your wealth. For those considering shorting, the risk of shorting is enormous at this point, which is equivalent to going against the major players and could result in being 'swept out' by a large bullish candlestick at any time, especially in the context of a W bottom nearing completion and a massive influx of macro risk-averse funds.
Friends in the crypto community, the ETH market is full of opportunities and challenges; it is a contest of wisdom and courage. If you want to seize the opportunity in this wave of wealth, and want to be the first to receive my in-depth analysis and latest operational strategies for the market, then hurry up and follow me! At the same time, everyone is welcome to leave comments sharing your views on ETH's trends, so we can explore the secrets of wealth together in this passionate and risky field!