At the moment, I prefer to stay out of the $ETH market, as the price action on the weekly timeframe is not yet providing clear directional signals. This week is crucial: a close above the red box would confirm support and increase the likelihood of a retest of the upper resistance. Conversely, a weekly close below the red box would invalidate the current structure, increasing the risk of the range between these areas continuing and deteriorating momentum for the coming weeks.
Until I see a clear weekly close above the green box support and with direction towards resistance, I prefer to stay out and watch. It is better to react to the price than to anticipate it. Obviously for a macro view.
For key level
The upper zone (green box) represents the area of recovery. A weekly close above this level would indicate a return of strength and demand. In such a scenario, sentiment would improve and the likelihood of capital rotation towards altcoins would increase.
The lower zone (red box) is the structural support for the trend. As long as the price remains above this area, the market is in a consolidation phase. A weekly close below this level would compromise the bullish structure, opening the door to a progressive downward movement, with a deterioration in momentum and a potentially bearish market environment.
For trades on low TMF different strategies
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