7.21 Morning Ethereum Market Analysis and Trading Suggestions

Market Review
The recent trend of Ethereum has been rather unusual. It was originally expected to fluctuate within a range over the weekend. Saturday basically met expectations, maintaining a range-bound movement; however, on Sunday, there was a unilateral upward movement, briefly breaking through the **3800** key defense line, forming a short-term divergence. However, the market was unable to stabilize and quickly fell back. **Just during the recent analysis period, ETH plummeted below 3600, reaching a low of around 3680, and then quickly rebounded**, indicating fierce competition between bulls and bears in the market.

Technical Analysis
1 hour level
- K-line trend: Short-term waterfall decline has broken through the middle band of the Bollinger Bands, and the current price is oscillating near the middle band.
-MACD: Continuous increase in volume, indicating that short-term momentum is still strengthening. Attention should be paid to whether a new directional signal is formed.

4-hour level
- K-line trend: The price has retraced below the upper band, indicating a weakening of bullish momentum.
- Key resistance: Around 3785 forms short-term resistance, and if it cannot break through, it may continue to pull back.

Operational Recommendations
1. Shorting opportunity (if it rebounds to the resistance zone):
- Entry range: around 3740~3770
- Target levels: 3680 (first support), 3600 (second support)
- Stop loss suggestion: If the price breaks 3785, caution is needed to prevent short positions from being trapped.
- If ETH breaks through the resistance level of 3785 again, the short-term bearish trend may be disrupted, and further rebounds should be monitored to avoid being blind.