🧩 Quick Overview
Ethereum ($ETH ) has once again dipped deeper into our key support and target zone, testing crucial Fibonacci levels. Yesterday, we saw ETH revisit the 50% retracement level at $3,861 and nearly tag the 100% extension, both aligning perfectly with the ideal target for Wave (C) of B — or possibly even a reset of Wave ii.
⚠️ Remember: Even B-waves can overshoot to the downside. Always keep that in mind when evaluating potential setups.
📉 Current Structure
We’re dealing with either:
An (A)–(B)–(C) correction, or
A i–ii setup (if this truly is a reset of Wave ii).
Either way, the invalidation point for the bullish setup remains at $3,463 (the October 10th low). That’s your make-or-break level — a clean line in the sand.
🧠 Pro Tip: Use that invalidation point to manage position sizing and risk. Don’t assume clarity before confirmation.
⚠️ Lack of Directional Clarity
Right now, Ethereum has no directional clarity.
We haven’t broken above critical resistance at $4,400, which remains the key level that must flip for any serious reversal confirmation.
Even though some altcoins like Virtual have held up better, $ETH still needs to break and sustain above $4,400 to signal real strength.
🔍 Short-Term Observations
The latest three-wave move up was still corrective, not impulsive.
Every short-term rally has been embedded in a corrective structure, not a clean 5-wave impulse.
That means: low-quality setup until proven otherwise.
We’re essentially seeing back-to-back corrective price actions without a clear directional impulse — making this a time to watch, not chase.
