Current Situation:
Recent Price Action: ETH saw a massive wick yesterday, flushing out most longs that jumped in after the 20th of May.
ETF News: The ETF news is bullish for crypto as a whole, but historically, such news has led to a temporary price drop.
Historical Context:
Past ETF Approval: Previous ETF approvals have resulted in a 20% dump on BTC and ETH, lasting around 10 to 12 days before prices began to gain traction again.
Key Support Levels to Watch:
$3,500: Major support level where buyers are likely to step in.
$3,300: Another critical support level that could mark the bottom.
$3,200: Strong support level, potentially marking the end of the correction.
Strategy:
Monitor Support Levels: Keep an eye on these support levels ($3,500, $3,300, and $3,200) as they may provide good entry points for long trades.
Be Patient: Given the historical pattern, there might be a temporary dip before the market gains traction again.
Risk Management: Set tight stop losses just below these support levels to manage downside risk effectively.
Summary:
ETH is experiencing a temporary pullback likely influenced by the recent ETF news. Key support levels at $3,500, $3,300, and $3,200 should be monitored closely as potential entry points for long trades. Historical patterns suggest a possible 10 to 12-day dip before the market resumes its upward trajectory.
Recent Price Action: ETH saw a massive wick yesterday, flushing out most longs that jumped in after the 20th of May.
ETF News: The ETF news is bullish for crypto as a whole, but historically, such news has led to a temporary price drop.
Historical Context:
Past ETF Approval: Previous ETF approvals have resulted in a 20% dump on BTC and ETH, lasting around 10 to 12 days before prices began to gain traction again.
Key Support Levels to Watch:
$3,500: Major support level where buyers are likely to step in.
$3,300: Another critical support level that could mark the bottom.
$3,200: Strong support level, potentially marking the end of the correction.
Strategy:
Monitor Support Levels: Keep an eye on these support levels ($3,500, $3,300, and $3,200) as they may provide good entry points for long trades.
Be Patient: Given the historical pattern, there might be a temporary dip before the market gains traction again.
Risk Management: Set tight stop losses just below these support levels to manage downside risk effectively.
Summary:
ETH is experiencing a temporary pullback likely influenced by the recent ETF news. Key support levels at $3,500, $3,300, and $3,200 should be monitored closely as potential entry points for long trades. Historical patterns suggest a possible 10 to 12-day dip before the market resumes its upward trajectory.