From the 3-day K-line chart of Ethereum, the current technical situation shows a bullish trend. The previous 3-day K-line formed a bullish 'piercing pattern', indicating the end of a recent pullback and establishing a range of fluctuations. Although the two K-line bodies increased during the pullback, their trading volume (volume) showed a contraction, indicating that the bearish strength is weakening.
The K-line closed on August 1 has a significant lower shadow, and the price did not effectively break below the lower edge of the fluctuation range, confirming strong support below. The overall high and low points of the 3-day line continue to rise, maintaining an upward trend, with the current price operating above the long-term upward trend line.
The price is steadily operating between the middle and upper bands of the Bollinger Bands, indicating that the market is in a relatively strong area. The bullish line closed on August 4 did not accompany an increase in trading volume, showing that the bulls have not yet demonstrated a strong offensive willingness in the short term. After nearly half a month of range-bound consolidation, the technical conditions are tending to mature, and the possibility of breaking through the fluctuation pattern is increasing.
