$ETH 6.11 Evening Thoughts

The 4-hour moving average MA5 has clearly crossed below MA10 with a significant slope, forming an effective death cross. At the same time, the MACD indicator's green bars continue to expand, indicating a stepped increase in bearish momentum, highlighting the continuation of the mid-term adjustment trend.

The price trajectory in the 1-hour timeframe closely follows the middle and lower bands of the Bollinger Bands. The KDJ indicator forms a three-line convergence pattern below the oversold threshold (below 20), suggesting that the short-term bearish momentum is experiencing a phase of exhaustion, indicating a technical need for a rebound due to overselling.

The hourly market level shows that the market has entered a narrow range of consolidation, with long and short funds forming a tug of war at critical price levels. Current technical indicators present conflicting signals: on one hand, the moving average system remains in a bearish arrangement, while on the other hand, the oversold indicators are releasing repair signals, leading to a phase of ambiguity in market direction. It is worth noting that the candlestick patterns have continuously shown bearish engulfing and top island reversals, among other strong reversal signals, combined with shrinking volume during the rebound phase, necessitating caution against the risk of a continuation of the downward trend after consolidation. For tonight's strategy, we will operate with a high-short and low-long approach!