Resistance Might Hold Stronger Than Expected:
The analysis assumes a breakout above the resistance area. However, if market sentiment weakens, sellers might defend this level aggressively, leading to a rejection and price reversal.
2. Liquidity Grab and Fake Breakout:
Instead of a clean breakout, price could exhibit a false move above resistance to trigger stop-losses before reversing sharply downward.
3. Support Might Not Hold:
The identified support area assumes bullish strength, but if macroeconomic factors or market conditions worsen, ETH could break below support and trend lower.
4. Trendline Trap:
The projected price movement suggests a higher high formation. However, if institutional traders manipulate price action, we might see a deeper retracement before any actual bullish continuation
The analysis assumes a breakout above the resistance area. However, if market sentiment weakens, sellers might defend this level aggressively, leading to a rejection and price reversal.
2. Liquidity Grab and Fake Breakout:
Instead of a clean breakout, price could exhibit a false move above resistance to trigger stop-losses before reversing sharply downward.
3. Support Might Not Hold:
The identified support area assumes bullish strength, but if macroeconomic factors or market conditions worsen, ETH could break below support and trend lower.
4. Trendline Trap:
The projected price movement suggests a higher high formation. However, if institutional traders manipulate price action, we might see a deeper retracement before any actual bullish continuation
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.