Yesterday, Ethereum retraced about 7%, and an interesting thing is that some people started shouting 3500, creating panic. So today, I will share my views on the future of Ethereum.

From the weekly level, we can see that Ethereum has broken through the double top on the weekly chart and is close to its historical high. In my original expectation, it was to break the historical high, leading to market FOMO, and then start a major correction for a washout.

Unfortunately, that didn’t happen; it directly retraced yesterday. However, in my view, there is no need to panic too much. This retracement is great and healthy. Why do I say it’s healthy? Because this rally has been too strong; unlike before when it broke from 1400 to 2100 and started consolidating and oscillating, this time it just surged too quickly without any consolidation area, making it hard to judge the future market trend.

Because when a market keeps skyrocketing, any piece of information can easily trigger a sell-off; it can come down just as quickly as it went up.

So the main trend moving forward is to focus on buying during the retracements. If it drops below around 4000 at any time, it could signal a downward trend. In the short term, I hope Ethereum will retrace to around 4100 and consolidate for two to three weeks to wash out some positions. #ETH