Hello, I just reviewed something interesting about the Gann diagram that many traders ignore. The truth is, this tool that W.D. Gann developed decades ago remains incredibly relevant for predicting price movements and time cycles in ETH and other assets.

Look, the Gann diagram combines price and time in a way that seems almost magical when you understand it. Basically, the theory is based on the idea that the market moves harmoniously, not randomly. By plotting geometric angles on your chart, you can identify where the market is likely to react.

Specifically in ETH, with the current price around $2.27K and down 1.27% in 24 hours, Gann levels give us clear clues. The 180° level acts as strong support around 3,129 USDT. If the price manages to break upward from here, the next target would be 270° at 3,714 USDT. But if that doesn't hold, you might see a drop toward 90° or even the base level.

What I like about the Gann diagram is that you’re not just looking at isolated prices. The vertical lines represent time cycles, and when they coincide with price levels, that’s a strong signal. I’ve seen traders waiting for these confluence points to enter with greater confidence.

In practice, if you want to use this, there’s a simple approach: in a bullish scenario, wait for ETH to break 270° to aim for 360° (4,348 USDT). If it fails, reduce exposure. In a bearish scenario, if it doesn’t hold 180°, prepare for deeper drops.

A tip that works: don’t rely solely on the Gann diagram. Combine it with RSI or moving averages. For example, if you see bullish divergence on RSI just as the price hits a Gann support level, that increases the likelihood of a rebound.

My recommendation if you’re a beginner: practice first on a demo account. Identify a few key levels from the Gann diagram, observe how the market reacts, and then gradually incorporate it into your strategy. It’s not an exact science, but once you master it, it gives you a real advantage.

Remember, this is just educational analysis. Always do your own research before any trade. The Gann diagram is a powerful tool, but it requires practice and discipline to use it correctly.