$ETH As of March 12, 2025, Ethereum (ETH) is trading at approximately $1,952.28, reflecting a 4.13% increase from the previous close. Recent technical analysis indicates that Ethereum faces critical resistance between $3,400 and $3,500, with strong support levels at $2,700–$2,800 and $2,400–$2,500.
Applying Smart Money Concepts (SMC) to Ethereum's current market structure involves analyzing key elements such as liquidity, order blocks, and market structure shifts. Liquidity pools, where significant stop-loss orders are placed, often reside above recent highs (buy-side liquidity) or below recent lows (sell-side liquidity). Identifying these zones can provide insights into potential price movements.
Trade Setup Using SMC:
Identify Liquidity Zones: Examine recent price action to locate areas where liquidity pools may exist. For Ethereum, potential buy-side liquidity could be above the $2,000 level, while sell-side liquidity might be below $1,800.
Determine Order Blocks: An order block is the last bearish (or bullish) candle before a significant upward (or downward) move. For Ethereum, a bullish order block might be identified around $1,900, serving as a potential support zone.
Monitor Market Structure Shifts: A Break of Structure (BOS) occurs when the price breaches a significant swing high or low, indicating a potential trend reversal. If Ethereum breaks above the $2,000 resistance, it could signal a bullish BOS, suggesting further upward momentum.
Potential Trade:
Long Position: If Ethereum retraces to the identified bullish order block around $1,900 and shows bullish reversal patterns, consider entering a long position. Target the next resistance level around $2,100, with a stop-loss below the order block at approximately $1,850.
Short Position: If Ethereum fails to break above the $2,000 resistance and forms bearish patterns, a short position targeting the support zone around $1,800 could be considered, with a stop-loss above the recent high at $2,050.
