$ETH - Fakeout or Breakout?


I did not hedge my Ethereum exposure following the brief deviation below the high-timeframe support range marked in purple, mainly because I was tracking one final POI before hedging my holdings: the 0.618 Fibonacci POI around $2,020, which held successfully.
Since then, the price has reversed and is now attempting to reclaim the high-timeframe support range marked in purple.
That said, the price is currently trapped between two key levels: the 0.618 Fibonacci POI and the 2D Bull Market Support Band around $2,270, which has been a strong reversal zone over the last couple of months.
Because of this, I believe that as long as price does not break above or below either of these levels, the most likely outcome remains further consolidation inside the high-timeframe support range before a larger directional move.
This range is designed to wreck overleveraged traders, which is why, in my view, the best approach is simply to hold spot positions and only hedge part of the exposure if we get a confirmed technical breakdown below an important POI.
ETH-1.12%
post-image
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
Add a comment
Add a comment
No comments
  • Pinned