ETH December 21 Daily Market Analysis

Review: In the early morning, the short-term price of the currency continued to rebound as expected in the analysis. Currently, the price of Ethereum has reached the upper pressure high point area. Now we need to see if the daily MA5 can be effectively broken through and stabilized (whether it stabilizes at the pressure point or not represents two different market scenarios for the subsequent short-term; this was detailed in the early morning analysis, and everyone can review it again).

From a daily perspective, the current KDJ and MACD indicators are still leaning towards a weak oscillation phase, and BOLL continues to oscillate downwards (the rebound sentiment from last night was actually a repair adjustment after the BOLL broke). Today, BOLL has been repaired, and the current price has returned above the lower track. The main chart MA5 and MA10 continue to oscillate and suppress downwards, and the gap between the main K price and MA5 has also been repaired. Next, we need to see if Ethereum's rebound strength in this round of adjustment can effectively break through near the daily MA5 (the current price reference is around 3580. If it does not break for a long time or shows a false breakout, then Ethereum will face a second wave of bearish sell-off risks; conversely, if 3580 is effectively broken and stabilized above, it indicates that the monthly line has completed the gap repair, and the short-term market risk is lifted. Subsequently, Ethereum will make a C-wave rise at the daily level (the key point now is to see if 3580 stabilizes, but the weekend market is different from the weekdays. The weekend market is more prone to inducement due to lower volume, and the short-term fluctuations in the market generally end with reduced volume spikes, so it is not very suitable to trade today, and everyone should try to hold back).

Summary: For the daily short-term trend, the focus should still be on whether the daily MA5 can be effectively broken through. If the short-term price can effectively break through the daily MA5 and stabilize above it, then Ethereum will make a C-wave rise at the daily level, and also lift and end the short-term market sell-off risk; conversely, if the daily MA5 cannot be effectively broken through for a long time, everyone should be cautious of the second sell-off risk after the mainstream fails to break. The key support for the lower low points is slightly adjusted to reference around the 3114-2900 area (this area corresponds to the 0.5-0.618 of the golden ratio).

The above is a personal daily market analysis for your reference only.