Lisa Andrew

$ETH



Hey Binance Square Family! 👋
Ethereum (ETH/USDT) is flashing a bearish continuation signal as it forms a textbook Inverse Flag & Pole pattern on the charts. This setup suggests that if the neckline breaks, we could see a sharp drop toward $1,400. Let’s break down the details and plan a high-probability trade! 📊

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🔎 Current Market Overview:

Pair: ETH/USDT

Timeframe: 4H / 1D

Current Price: ~$2,130

Trend: Bearish Continuation Potential

ETH has been consolidating after a sharp downward move, forming a flag structure that typically signals bearish continuation after a pause. The key to this setup lies in the neckline breakout—once that level is breached, sellers could take control and push the price toward the target zone.

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📉 Key Insights to Watch:

✅ 1. Pattern Formation:

Flag & Pole Pattern: A bearish structure where a steep drop (the pole) is followed by a consolidation phase (the flag), leading to a continuation of the downtrend.

Inverse Flag Formation: ETH is forming an inverse flag where the price consolidates slightly upward after a sharp drop.

✅ 2. EMA 200 Acting as Resistance:

The EMA 200 on the 4H timeframe is capping price movements, acting as a dynamic resistance zone. This further strengthens the bearish outlook as price struggles to break above it.

✅ 3. Neckline Breakout – The Trigger:

The neckline of the flag is the most critical zone to watch. A decisive breakout below this level will confirm the continuation of the bearish move.

If the neckline breaks, expect momentum to accelerate toward the $1,400 target zone.

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📊 Technical Analysis Breakdown:

1. Inverse Flag & Pole Confirmation:
ETH formed a strong downward pole, followed by a tight consolidation phase forming the flag. A break below the neckline zone ($2,080-$2,100) will signal continuation toward lower price levels.

2. EMA 200 Rejection:
The 200 EMA is acting as strong dynamic resistance, preventing any bullish attempts to regain control. This rejection adds confluence to the bearish narrative.

3. Volume Behavior:
Expect increasing volume on the breakout below the neckline, which will validate the pattern and increase the likelihood of hitting target zones.

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🎯 ETH Trade Strategy:

💡 When to Enter:

✅ Short Entry: Wait for a clean break below the neckline around $2,080 to confirm the pattern.

✅ Retest Confirmation: For extra confidence, consider entering after a retest of the broken neckline as resistance.

🎯 Take Profit Targets:

✅ Target 1: $1,800 – Intermediate support zone

✅ Target 2: $1,600 – Next key liquidity zone

✅ Target 3: $1,400 – Final bearish target if momentum continues

📉 Stop Loss:

Place a stop-loss above $2,180 to protect against invalidation of the setup.

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📈 Why This Setup Looks Bearish:

✅ Pattern Confirmation: Inverse flag & pole formation with clear bearish continuation bias.
✅ Dynamic Resistance from EMA 200: Price rejection from the 200 EMA adds credibility to the bearish outlook.
✅ Volume Breakout Expectation: Increasing volume on the neckline breakdown will likely accelerate the sell-off.

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🕰️ When to Act?

📢 Wait for Confirmation:

Only enter short positions after a confirmed breakout below $2,080.

For added confirmation, wait for a retest of the neckline and rejection before committing fully.

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🔥 Why This Trade Setup is Exciting:

High Probability Setup: Bearish continuation patterns often provide strong follow-through moves.

Well-Defined Risk/Reward: Clear entry, stop-loss, and target levels ensure a disciplined approach.

Potential for a Smooth Ride to $1,400: If this pattern plays out, ETH could see a sharp drop with minimal retracement.

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⚡ Conclusion:

ETH/USDT is showing a highly probable bearish continuation setup with an inverse flag & pole pattern. A neckline breakout could trigger a sharp move toward $1,400, making this a prime short opportunity for disciplined traders. Stay patient, wait for confirmation, and execute with precision! 📊

📣 Do you think ETH will hit $1,400? Share your thoughts in the commen
ts! 🔥

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Disclaimer: This is not financial advice. Always conduct your own research before making any investment decisions.