Signs of a bloodbath? Trump's tariff stick strikes India; the technical breakdown at $3680 for ETH is imminent!
Recently, the crypto market has been in turmoil! U.S. President Trump suddenly announced a 25% punitive tariff on Indian goods, targeting India's 'profiteering from reselling Russian oil'. This news struck like thunder, directly igniting panic in the global financial market, and as the benchmark for risk assets, Ethereum (ETH) is facing a life-and-death test at the $3680 level!
1. Trump's 'tariff nuclear bomb' ignites the market, ETH technicals show death signals
According to the latest market data, ETH's opening price today (August 5) was $3678.81, which quickly retreated after peaking at $3735. As of 10:00, the closing price was $3681.54, with a rise of only 0.07%. Beneath the seemingly calm surface, technical indicators have turned on a red alert:
BOLL band: The upper band (3768.59) has become a strong resistance level, while the lower band (3515.83) hides danger; if it falls below, it will trigger a chain sell-off;
Fibonacci retracement: The 20% key level almost coincides with the current price; if it fails to hold, the 38.2% retracement level may become the next target; crocodile mouth contraction: Technical patterns show intensified bullish-bearish battles, and direction choice is about to ignite!
2. History repeating? The tariff storm in 2025 caused ETH to plunge 27% in a single day
Trump's 'tariff stick' is not the first to strike the crypto market. In February 2025, after announcing a 25% tariff on Canada and Mexico, ETH's price plummeted 27% in a single day to $2135, marking the largest drop since May 2021. The recent move against India has created even greater market panic:
Funds flow: Over 700,000 people globally liquidated within 24 hours, amounting to $2.04 billion, with long positions accounting for 87%;
Institutional movements: Some funds are taking the opportunity to buy the dip, but retail panic selling is causing market volatility to self-reinforce; chain reactions: If India retaliates or more countries become involved in the trade war, ETH may face a 10%-20% correction risk!
3. Life and death at $3680: The last line of defense for the bulls
The current ETH price is stuck around $3680, exactly at the life and death line where pressure and support converge:
Upper pressure: The BOLL upper band (3768) and the 0% Fibonacci retracement level (3735) create a double suppression; lower support: If it falls below the 20% retracement level (3678), $3627 (38.2% retracement level) may become the bulls' 'last bastion'.
4. Bloodbath or rebound? Key signals to watch
Trump's policy delay: If an agreement is reached before tariffs take effect on August 7, ETH may see a rebound;
Institutional fund movements: BlackRock's iShares Bitcoin Trust saw a net inflow of over $4 billion in a single week; if funds shift to ETH, it could reverse the downward trend.
5. Personal opinion
ETH is currently stuck at $3680, with high pressure from the BOLL band (3768) above and the 20% Fibonacci retracement level (3678) below as the life and death line. If it falls below 3678, it may trigger a test of the $3627 support level, similar to the 27% drop in February. In the short term, delayed policies or buying by funds may save the situation, but $3627 is the last bastion for the bulls; if it cannot hold, be alert to the risk of chain liquidations.
Trump's 'tariff nuclear bomb' has ignited the fuse, and the life and death battle at $3680 for ETH is unfolding! Will there be a bloodbath or a counterattack? The game between technicals and policies may determine the fate of the crypto market in the next phase. At this moment, which side are you on? As the opportunity approaches, how will retail investors seize it? Follow the judge to catch the next wave.