ETH is currently following the second pattern, and the overall atmosphere is still bullish. On December 1st, during the second dip, it hit exactly 2720. I wasn't live streaming at that time, so only the folks who were following closely managed to catch that long position.

Right now, I'm still siding with the bulls for the big trend. Why? Because if you go short, you could get wiped out by a sudden 300 to 500 point spike at any time. Shorts are only suitable for quick in-and-out trades, grabbing 30-50 points for a short-term profit and then getting out. Holding a short position overnight? That's just gambling with your life.

After the Fed restarted rate cut expectations, market sentiment has clearly warmed up. At this level, the risk-reward ratio of chasing shorts on ETH just isn't worth it.