Ethereum (ETH) – High-Probability Buy Zone Identified on the H4 Timeframe
Ethereum ($ETH) is currently exhibiting strong bullish momentum on the 4-hour (H4) timeframe, making it a compelling asset to monitor for a potential long entry. Based on technical price action and liquidity analysis, we have identified a high-probability demand zone between $3,454 and $3,368—a key area of interest for professional traders.
H4 Market Structure and Bullish Bias
ETH remains in a bullish structure on H4, with higher highs and higher lows being respected. The recent retracement offers a strategic opportunity to enter long positions in alignment with the prevailing trend. The order block located between $3,454 and $3,368 represents an institutional-level accumulation zone where large-volume buying is likely to occur.
Key Reasons for This Demand Zone’s Significance
1. Liquidity Below Recent Swing Lows
There is significant liquidity resting below $3,506–$3,475, the most recent swing lows. Smart money often seeks to capture this liquidity before initiating large upward moves. A sweep of these lows into the order block would create an ideal setup for a reversal.
2. Daily Timeframe Liquidity Alignment
This H4 order block also aligns with high-liquidity areas on the daily timeframe, increasing the probability of a strong reaction. Confluence between multiple timeframes adds to the strength of this zone and improves risk-reward dynamics.
Entry Techniques in High-Probability Zones
Traders can use refined lower-timeframe confirmation methods (on the M5 or M3 charts) to time entries with higher precision. Recommended confirmation signals include:
Two-Bar Reversal Patterns
Climactic Action Bars
CISD (Change in Supply/Demand) Shifts
Effort vs Result Imbalances
These signals typically indicate institutional buying or selling activity and can validate the strength of the zone.
Simplified Strategy for Less-Experienced Traders
For those not yet comfortable identifying lower-timeframe confirmations, a more straightforward strategy involves placing a limit buy order near the midpoint of the H4 order block (~$3,410). A logical stop-loss can be set just below the zone (e.g., under $3,368), while targeting recent highs or a defined higher timeframe objective for a favorable risk-to-reward ratio.
Conclusion
The technical confluence between liquidity, market structure, and the H4 order block makes the $3,454–$3,368 zone a strong candidate for a bullish reversal. Whether using advanced confirmation methods or a more passive entry approach, traders should consider this zone as a high-probability area for Ethereum accumulation.
As always, risk management and confirmation are key. Avoid chasing price—let the market come to your level.
📌 Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always conduct your own research and trade responsibly.