I am Qi He! I just came across an explosive news: that big shot from the White House, Hassett, has made a statement: the CPI data is astonishingly good, and there is huge room for the Fed to cut interest rates! As soon as this news came out, I immediately took a look at the one-hour K-line of ETH, and wow, it is clearly struggling in a downward trend. Many fans are asking: tonight will ETH surge to 3000 dollars due to the good news, or will it continue to drop to 2890 or even 2700? Don't worry, Qi He will clarify for you, and I guarantee you won't be able to sleep after watching it!
News: Interest rate cut expectations, is the 'lifesaver' for the crypto world coming?
Let's talk about Hassett's news first. This guy is a popular candidate for the next Fed chairman, and he directly stated that 'the Fed has a lot of room to cut interest rates', and also mentioned wage increases and decreasing inflation, clearly boosting the market! You have to know, cutting interest rates means the dollar might weaken, and more funds will flow into risk assets like Bitcoin and ETH. For the crypto world, this is a long-term positive, but in the short term, the market often 'buys expectations and sells facts'. Tonight's news might stimulate a rebound, but if the technicals don't cooperate, be careful that good news turns into bad news! Qi He feels that this news is like a bomb, the fuse is burning, but the direction of the explosion depends on the technical trend.
Technical aspect: The candlestick chart reveals its 'hideous face'; crucial levels determine life and death!
Open the ETH one-hour chart, current price is $2824, down 0.11%. It doesn’t seem severe, but the devil is in the details. The MACD white and yellow lines are below the 0 axis forming a dead cross, indicating that bears are still in control and the weakness has not changed. Recent trading volume has surged, which means that the battle between bulls and bears is intense, and a change in trend is imminent!
Key support: $2890 is the first line of defense. If it breaks, it is highly likely to slide towards $2700, or even $2600. Because in a downtrend, support levels are like paper; they break easily.
Resistance level: The upper level of $3000 is strong resistance, and it is difficult to break through all at once without significant positive news. From the chart, ETH is currently 'stuck in the middle', unable to go up or down, which is awkward!
What should players do? Qihe offers you three 'survival rules'.
Short-term players: Focus on observing. If the price stabilizes around $2890, you can try a small long position. For specific points, consult Qihe.
Medium to long-term players: The positive news is long-term, but short-term risks are high. It is recommended to build positions in batches, slowly accumulating in the $2700-$2600 range, don’t go all in at once. With expectations of interest rate cuts, ETH looks bullish in the future, but the process may be bumpy.
Qihe's personal view: Combining news and technicals, I believe ETH is likely to 'first dip then rise' tonight. Why? Positive news might encourage bulls to attempt a counterattack, but the technical dead cross puts pressure, and the price may first test the crucial level of $2890. If it holds, leveraging interest rate cut expectations, it may rebound towards $3000; if it loses $2890, don't fantasize, you’ll see $2700! Remember, the market always follows expectations, Hasset's words give hope, but the candlestick chart is the real battlefield.
I am Qihe from the crypto circle. Follow me, and I will teach you how to seize this market wave and catch the whole fish! If you don’t know how to time your entries, Qihe will provide real-time analysis in the village, giving the current best entry points. Remember, Qihe doesn’t deal in illusions; what you want is 'understandable, profitable' content, and what I want is to help you avoid pitfalls and grab the meat as a loyal fan.
