๐ Quick Summary:
Ethereum (ETH) surged from $1,800 to nearly $2,700 in just a few days, but is now facing selling pressure. The question is: is this a healthy pullback, or are we seeing the early signs of a trend reversal?
๐ ETH/USD (4H) Technical Analysis โ Updated May 13
๐ Key Highlights:
ETH is forming a falling wedge pattern โ often a bullish continuation if breakout occurs.
Price has broken below the 20 EMA and is currently testing the $2,450 support zone.
Decreasing volume during the pullback suggests a temporary correction, not full-blown reversal.
The 50 EMA ($1,809) is a key support if price dips deeper.
๐ Trend Outlook & Optimal Entry Zones
โ Overall Trend:
Mid to long-term: Bullish
Short-term: Technical correction
๐ฏ Ideal Entry Zones:
Entry Zone Reason
$2,250 โ $2,280 Previous breakout + strong support area
$2,080 โ $2,120 Close to 50 EMA and major demand zone
๐ก Suggested Stop-Loss:
For entry at $2,250 โ SL: $2,150
For entry at $2,080 โ SL: $1,980
โ๏ธ Placing SL ~3โ5% below support to avoid being shaken out.
๐ฐ Target Profits:
TP1: $2,450 (near-term resistance)
TP2: $2,600
TP3: $2,800 (if breakout is strong)
๐ง Trading Scenarios:
๐ Scenario 1 โ Healthy pullback:
Price retests $2,250โ$2,280 โ bounces โ targets $2,600+
๐ Scenario 2 โ Deeper retracement:
Breaks below $2,250 โ heads to $2,080 โ strong support at 50 EMA โ possible rebound
๐ Scenario 3 โ Bearish breakdown:
Breaks below $2,000 with volume โ 50 EMA lost โ uptrend invalidated โ reassess position
๐ Final Thoughts:
ETH is consolidating after a sharp rally. Avoid FOMO.
Watch for confirmations at key support zones before entering.
Volume + EMA structure still support a bullish mid-term outlook.
Key levels to monitor: $2,250 and $2,080.
๐ Disclaimer:
This is not financial advice. Always DYOR and manage your risk accordingly.
