Everyone thinks a coin testing a key resistance level is an automatic buy signal, but actually, it is often a trap for impatient retail buyers. Too many traders lose money by FOMO buying right into the ceiling, only to watch the price dump immediately after. They end up holding bags because they do not understand the difference between a breakout and a rejection.

Think of resistance like a heavy wooden door you are trying to kick down. If you do not break it on the first try, you get pushed back, which is exactly what we just saw with $ETH failing its first attempt at the $1,820 to $1,850 zone. Here are three warning signs you need to watch right now to avoid getting wrecked.

First, the door is still locked because the $1,820 to $1,850 range remains heavy resistance. Second, buyers are defending the $1,750 support level, but if they get tired, the drop will be fast. Third, we need to see massive spot demand push $ETH through, otherwise this is just sideways chop waiting for $BTC to make a move. Once the door actually breaks with high volume, the path to $2,000 opens up. Until then, patience is your best friend.

Where do you think this goes from here?

#Ethereum #CryptoTrading #TechnicalAnalysis