$ETH has been experiencing a volatile intraday trend of rising, falling, and then rebounding, repeatedly testing key levels in the 4165-4367 range. From a technical perspective, the current market exhibits three key characteristics:
Two tests of the 4165-4187 range resulted in rapid rebounds, forming a double bottom structure in this area on a 4-hour chart. The middle Bollinger Band and the 30-day moving average formed a technical resonance near 4200, reinforcing support.
Trading volume significantly declined during the pullback, while rebounding saw a moderate increase, indicating limited selling pressure and strong support. This volume-price structure typically signals the end of a correction.
Despite the technical pullback, the perpetual contract funding rate remained at a reasonable level of 0.01%, showing no signs of leverage overheating. Derivatives market open interest remained stable, indicating a healthy technical correction.
Strategically, it is recommended to establish long positions in batches between 4220 and 4250, with a stop-loss below 4150. The short-term target is 4400, with a breakout likely to test the previous high of 4500.
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