Powell's words ignite ETH! Insider information revealed, quick look at today's operation guide!
ETH's violent surge last night directly woke up the market! As an analyst with 10 years of experience, today I will guide you step by step to understand the intricacies behind this market movement!
News detonated
At 3 AM, Federal Reserve Chairman Powell announced at the Jackson Hole conference: "Inflation is controllable, and the rate hike cycle is nearing its end." This statement directly excited the market! It's important to know that high-risk assets like Bitcoin and ETH are most afraid of rate hikes, and now that the Federal Reserve has eased its stance, institutional funds immediately swooped in like hungry wolves.
Once the news broke:
ETH surged 8% in 1 hour, breaking through historical highs
3.2 billion USD in short positions were liquidated across the network
Grayscale ETF saw record net inflows in a single day
Several hedge funds on Wall Street are quietly building positions in ETH spot, targeting 5500!
Technical indicators perfectly aligned
Look at this 1-hour K-line chart:
1. Bollinger Bands exploded: The price broke through the upper band of 5064, with the middle band of 4688 becoming strong support; this formation is called "rocket launch," which occurred once in January 2024 and then rose by 47%!
2. Moving averages are in a bullish arrangement: The yellow and purple moving averages are climbing like stairs, and every pullback is a buying opportunity
3. RSI holds hidden secrets: Although it reached 64, it hasn't shown overbought conditions, indicating there is still upward fuel
4. Volume cooperation: The trading volume during the breakout was three times the usual, indicating a genuine market movement
Key levels to remember:
Support levels: 4742 early morning pullback point, 4619
Resistance levels: 5100, 5320
Experienced trader's exclusive viewpoint:
1. Short term: Today is likely to follow a "surge - pullback - surge" script, focusing on institutional actions at the opening of the US market
2. Risk points: Be cautious of European traders taking profits in the afternoon, if it drops below 4742, reduce positions first
3. Altcoin opportunities: L2 and DeFi tokens within the ETH ecosystem will rise, but remember the pattern of "leading coins rising first, then the smaller ones".
Don't blindly chase after bullish candles! Market sentiment is overheated right now, I suggest:
Aggressive traders: Sell 30% of your position near 5100, wait to buy back at 4750
Conservative traders: Use 4619 as the stop-loss level, if it drops below, exit immediately.
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