Recently, the price of Ethereum (ETH) has shown a sideways oscillation pattern, with intense market competition between bulls and bears. Although there are rumors that some large traders (commonly referred to as 'main forces') have started to position themselves for long positions, considering the overall market environment and technical analysis, we believe there is still a downside risk in the future market, especially the potential for a correction in the latter half of the month.
From a macro perspective, this may bring uncertainty to the cryptocurrency market. Technically, the fact that the price of Ethereum has consistently failed to effectively break through key resistance levels indicates that the selling pressure from above remains heavy.
It is worth noting that the current market sentiment is quite complex. On one hand, some investors may be inclined to buy on dips due to the influence of rumors about 'main forces going long'; on the other hand, sideways consolidation is often a precursor to a trend change. If negative catalysts appear in the market, it could easily trigger a rapid decline. Therefore, we cannot rule out the possibility of a 'downward spike' occurring in the evening or early morning hours, meaning a rapid price drop that touches lower support levels and then quickly rebounds.
Considering various factors, we believe the following price levels are worth paying close attention to:
* First support level: around $3200, as this is a recent area of high trading volume, and a drop below this level could trigger further selling.
* Second support level: around $3149, this price level is [can be explained based on chart analysis regarding the importance of this level, such as previous lows, Fibonacci retracement levels, etc.].
* Strong support level: around $3095, if the price drops to this area, we need to be wary of a greater correction risk.