The current ETH is like a warrior pushed to the cliff edge by shorts, with only the thin wire of 4000 points left underfoot— if you step steadily, you can breathe and rebound, if you step empty, it is panic selling. Market sentiment has already shifted from greed to panic, and Old Chen's view remains unchanged; when the market is overwhelmingly bearish, it is often not far from a rebound! The main force loves to pick up chips when retail investors cut losses.

Old Chen predicts: this wave of overselling will eventually welcome a rebound, forming an N-shaped pattern.

Old Chen's exclusive analysis + operation strategy (抢肉吃 in the tiger's mouth):

1 Market sentiment is being tortured to the limit by 'gradual decline'

ETH's decline has lasted for 6 days, dropping from a high of 4788 to around 4060, and the K-line has been almost suffocated by the 20-hour moving average. This kind of gradual decline, like 'boiling frogs in warm water', torments retail investors' mentality, with account assets shrinking bit by bit; many have already started to curse and cut losses.

But the truth is: panic selling is the fuel for a rebound. Last night’s dovish signals from the Fed + continuous net inflow of ETH spot ETFs (though small) indicate that large funds have not run away but are instead secretly buying. The more pessimistic the sentiment, the more likely it is to be the eve of a reversal!

Old Chen believes: after digging a pit, there must be a rebound! However, the dog stock will likely continue to use Powell's interest rate cut to wash the盘, and this can be clearly seen in the market, with two days left to verify.

2 Why must there be a rebound after 'digging a pit'?

Technical Dullness: The short-term KDJ has been hovering in the oversold area, downward momentum weakens, and the harder the spring is pressed, the stronger the rebound;

Main Cost Area: 4000-4100 is a long-term chip accumulation area, and the main force will not easily let the price fall below its cost line;

News hints: Slow inflow of ETF funds + rising expectations for interest rate cuts in September, medium to long-term benefits are accumulating strength.

Conclusion: Short-term may be annoying, but the long-term bullish logic remains unchanged; it will definitely reach 5000 this year!

3 Old Chen's short-term operation: (You have to stay alive to eat meat)

Support: 4060 (today's lifeline) → If it breaks, watch the 4000 integer level;

Resistance: 4150 (hourly moving average resistance) → Breaking through will open up rebound space;

Critical Point: 4000 points! If it breaks, you need to stop loss, if it holds, you can add positions in batches.

Practical Advice:

1: Don't cut losses on existing positions, be patient and wait for a rebound to reduce positions;

2: Those who want to catch the bottom: lightly test the waters near 4060, add every 50 dollars drop, keep the position under 10%;

3: Short-term players: don’t chase highs before breaking 4150, gradually exit as it rebounds to 4200-4250.

Remember: When the market is grinding, it’s a test of who can endure it better!

Old Chen finally wants to say a heartfelt word:

The market is always cycling through the script of 'despair - hesitation - carnival', and we are just at the despair stage now. If you are a long-term player, ETH below 4000 points is a golden pit; if you are a short-term player, hold your hands and don't get shaken out. Bull markets often have sharp declines, bear markets often have gradual declines— and now, it is clear that the main force is scaring people.

Follow Old Chen, let's wait for the wind to come together!#加密市场回调