The hit lands!🥊 Ethereum deflates by almost 10% and fear is felt on the street. What's happening with the digital currency that promised to touch the sky? 📉

Oh, my! Hold on tight because Ethereum (ETH) has gotten rebellious. After flirting with its all-time high of $4,800, out of nowhere, bam!, it collapsed like a house of cards. The thing is that now we are on a roller coaster of uncertainty, with ETH testing to see if it can hold up the remaining supports to avoid falling completely. 🎢

Get in the game: Experts say this is due to people cashing out their profits (what is known as 'profit-taking') and because those who had their tokens saved for staking suddenly released them, flooding the market. Too much supply, too few buyers! This put the brakes on the upward trend it was having.

The Analysis for You to Understand:

  • In day-to-day (daily chart): ETH hit a wall at $4,800. The reason? A lot of people selling. Now, the price is fighting not to drop below $4,200. If it holds there, there's still hope! 🙏 But if it breaks that level, the next stop at $3,800 is where things get uglier. One detail: the RSI indicator (which measures if it's overbought or oversold) has already warned that a correction was coming.

  • In the quick move (4-hour chart): It was a strategy show. The big market players raised the price to $4,800 to trigger the 'stop loss' orders (to sell if the price drops) and for late buyers to jump into the game. That's when the sharks 🦈 turned around and sold everything, causing the drop. Now ETH is dancing between several supports, waiting to see who wins: those who want it to go up or those who want to see it down.

And what does the market feel? 🤔

There's everything, like in a pharmacy! Volatility is at its peak. The heat map (a tool used by traders) shows that there are a lot of nervous investor positions ready to liquidate below $3,800. This means that if ETH approaches that level, it's very likely to drop even further, as if it were a magnet, to sweep away all that liquidity before, perhaps, rising again.

The message is clear: Watch out for false signals! This thing is going to keep rising and suddenly dropping while the big players decide where the move is going.

So, does it recover or completely collapse? Keep your eyes peeled, because this is the kind of play that defines whether an asset continues on its path to success or gets into a complicated streak! 🧐\u003cc-22/\u003e