ETH Today's Plunge Analysis: Washout or Risk?
Event Review
ETH suddenly plunged this morning, dropping from $4450 to $4278, spreading panic in the market. The superficial reasons were the 'Old Trump's Remarks' and 'ETH Unstaking' news, but this decline is more about 'washing out with news' rather than real risk, and instead provides an opportunity for low buying.
Dual Incentives
Old Trump's Remarks: Although the market interpreted it as 'crypto-negative', it is actually a confirmation of existing regulatory discussions, which has already been digested by the market.
ETH Unstaking: The ETH pending unstaking only accounts for 0.03% of the circulation, which is not significant, and large whales tend to continue staking, so it will not trigger large-scale selling.
Technical Support
This pullback did not break the $4278 support level, which is the mid-support on the 4-hour chart. After dropping to this level, buying began to enter the market, and the price quickly rebounded to $4320, indicating that market panic has basically been released.
Operational Strategy
If the pullback holds the $4250–$4300 range, it is recommended to buy in batches.
If it drops near $4200, the daily MA30 moving average support is strong, and the overall trend is still not broken.
Summary
This drop seems more like a washout by the main forces, preparing for a breakthrough of the previous high ($4730). The short-term emotional disturbance provides a buying opportunity, and the long-term outlook still maintains an upward expectation.
