$ETH Ethereum analysis, yesterday during the day was another day of fluctuations, and at night there was another night of sharp decline. My opening price was 4577, and I set a stop loss at 4580. Don't use high leverage, don't hold onto losing positions, if you're wrong, acknowledge it and stop loss in time. There are opportunities every day in the crypto circle; securing your principal with one big opportunity can help you turn your situation around.

Now let's draw a daily level Fibonacci retracement from this high point to the previous high point. We can see that 4360 is at the 0.5 position, and it stopped and rebounded at 0.5. Generally, 0.5 is a turning point for bulls and bears. I didn't expect this retracement to be so deep; usually, the retracement stops around 0.618, but this time it was too large.

When it broke 4580, the five-minute moving average was already in a bearish arrangement, but I am not accustomed to shorting, so I didn't short and just rested. 4360 cannot be broken; if it is, the upward trend will be lost.

I see many people still asking what dense moving averages are. In the second image, the area marked is around 3600, where six lines are entangled together, like a ball of yarn. This situation represents a high degree of consensus among chips, and a direction is about to emerge. The larger the time frame where the moving averages are dense, the stronger the trend tends to be. After the moving averages are dense, wait for the trend to emerge. If the short-term MA10 yellow line crosses above the 20/60, and the K-line is above all the moving averages, we can determine that this is a bullish trend. For example, at the 4260 point position in the third image. Conversely, looking at the 4600 position in the third image, after the moving averages are dense, the blue 60 moving average is on top, and the yellow 10 moving average is at the bottom, so the K-line is below the moving averages, indicating a bearish trend, and choosing to short. Of course, this doesn't mean you should short now; the cost-effectiveness is already very low. Going long below 4360 should have strong support.

Alright, the analysis is complete. Generally, during weekends, liquidity is low and volatility is small, so I suggest taking a two-day break and not opening any positions. Take some time to study and review. If you want to go long, you can do so at 4360; I do not recommend other positions, and if it breaks below 4350, directly stop loss. Some may ask when they can open a position? My suggestion is when the four-hour level moving averages are dense, and when the yellow line crosses above, additionally, last night ADA performed very strongly. I will study it well over the weekend and then guide you.