December 18th ETH Technical Analysis and Trading Strategy
After a sufficient period of price consolidation, the bearish momentum of ETH has significantly weakened, and market sentiment has switched from panic to recovery. Off-market funds are gradually returning to the market, and the atmosphere for going long continues to heat up.
The four-hour chart shows a clear reversal signal: after the price dips to the lower Bollinger Band, it quickly rebounds, forming a classic bottoming pattern. The closing price has firmly settled above the upper edge of the consolidation range, indicating that short-term market dominance has completely shifted to the bulls. The moving average system has also formed a bullish arrangement, with MA5 and MA10 turning upwards successively, creating a staircase-like support that provides technical backing for subsequent upward movements. In conjunction with volume logic, if buying pressure continues and trading volume increases, it will further validate the strength of the trend, making a breakthrough above previous highs a high-probability event. Currently, going long in line with the trend has a clear risk-reward ratio.
Trading Recommendations
Bullish entry range: 2740-2800 (This range aligns with short-term support and offers a high safety margin)
Stair-step target levels: First target 2900, Second target 2960, Key target 3000 (Psychological level and technical resistance resonance)
Breakout strategy: If the critical resistance level of 3000 USDT is effectively broken, positions can be added in line with the trend, and the target can be moved to the next resistance range.
Risk control strategy: If the price fails to break through the key resistance level and a turning signal appears, a short position can be established, with a stop-loss reference below the upper edge of the consolidation range.
