Ethereum: Potential for a Strong Rebound
After the hype around the approval of spot ETFs, we saw an impulsive spike in May 2024. Many traders interpreted this as a signal for aggressive buying, but it turned out to be a bull trap, with each correction used for accumulation. Fast forward a few months, and we’re now witnessing a slowdown in market interest. This is supported by declining on-chain activity and overall sentiment.
Let’s look at the chart from a technical perspective:
Key Psychological Level: The $2000 level is a critical psychological barrier
Hidden Bullish Divergence: Observed on the 4H timeframe, suggesting potential recovery.
ETH/BTC Ratio: Ethereum remains undervalued relative to BTC.
⚠️ Caution: Avoid high-leverage positions at this stage!
Trade Setup:
🟢 Entry: $2361 (market entry or pullback) with 0.5% risk of total portfolio
🔴 Stop-loss: $2290 (optional, based on risk tolerance)
🟢 Add to position: $2160 with 1% risk
🎯 Targets:
Target 1: $2619
Target 2: $2789
Target 3: $3089
Target 4: $3449
Let’s look at the chart from a technical perspective:
Key Psychological Level: The $2000 level is a critical psychological barrier
Hidden Bullish Divergence: Observed on the 4H timeframe, suggesting potential recovery.
ETH/BTC Ratio: Ethereum remains undervalued relative to BTC.
⚠️ Caution: Avoid high-leverage positions at this stage!
Trade Setup:
🟢 Entry: $2361 (market entry or pullback) with 0.5% risk of total portfolio
🔴 Stop-loss: $2290 (optional, based on risk tolerance)
🟢 Add to position: $2160 with 1% risk
🎯 Targets:
Target 1: $2619
Target 2: $2789
Target 3: $3089
Target 4: $3449
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