On the $ETH th day, a volatile trend of rising, falling, and then rebounding is presented, repeatedly testing key levels within the range of 4165-4367. From a technical structure perspective, the current market exhibits three important characteristics:
Both tests of the 4165-4187 range quickly rebounded, and this area has formed a double bottom structure at the 4-hour level. The middle band of the Bollinger Bands and the 30-day moving average are forming a technical resonance near 4200, reinforcing the strength of support.
During pullbacks, trading volume significantly shrinks, while rebounds are accompanied by a moderate increase in volume, indicating limited selling pressure and strong support. This volume-price structure usually suggests that the adjustment is nearing its end.
Despite a technical pullback, the perpetual contract funding rate remains at a reasonable level of 0.01%, with no signs of overheating leverage. The derivative market's open interest remains stable, indicating that this is a healthy technical correction.
In terms of operational strategy, it is recommended to gradually establish long positions in the range of 4220-4250, with a stop-loss set below 4150. The short-term target can be seen at the 4400 integer level, and if broken, it is expected to test the previous high position of 4500.
