EthereumLong
High-probability zone for bullish entries in Ethereum
Updated
The highlighted Buy Area near $3,950 is a high-probability zone for bullish entries in Ethereum (ETH/USD), supported by both trendline and horizontal confluences. This level aligns with the ascending trendline that has consistently acted as dynamic support since October, indicating the ongoing strength of the uptrend. Additionally, $3,950 marks the previous resistance level that was recently broken and has now flipped into support, a classic technical setup for continuation. This area also benefits from psychological support near the $4,000 round number, further bolstering its significance. Traders can consider entering long positions within this zone, targeting a bounce toward $4,100 and potentially $4,300. A close below $3,900, however, would invalidate the setup and likely signal a deeper retracement toward $3,800. Confirmation from volume spikes or bullish price action at the Buy Area can further enhance the trade's success probability. As always, risk management is key, and traders should set stops accordingly.
What do you think?
This is not financial advice. Please always DYOR
What do you think?
This is not financial advice. Please always DYOR
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The current breakdown on the 4-hour ETH/USD chart could be a fake-out due to the lack of significant selling volume, oversold RSI levels near 35, and the broader bullish context of the weekly ascending triangle pattern. True breakdowns are typically accompanied by strong volume and sustained price action below key levels. To confirm this as a legitimate breakdown, we need a 4-hour candle close below $3,700 with increased volume. Alternatively, if ETH reclaims the trendline near $3,750-$3,770 on strong buying momentum, it would confirm the move was a fake-out and signal a potential bullish continuation toward $4,000. Waiting for clear confirmation is essential before making any trading decisions.
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