December 18 ETH Technical Analysis and Trading Strategy

After undergoing a thorough consolidation phase, the bearish momentum for ETH has significantly weakened. Market sentiment has shifted from panic to recovery, with off-chain funds gradually flowing back in to position, and the bullish atmosphere continues to heat up.

The four-hour chart shows clear reversal signals: the price dips below the lower Bollinger Band and then quickly rebounds, forming a classic bottoming and rising pattern. The closing price firmly stays above the upper boundary of the consolidation zone, indicating that the short-term market dominance has fully shifted to the bulls. The moving average system also aligns in a bullish configuration, with MA5 and MA10 turning upward successively, creating a step-like support structure that provides technical backing for further upward movement. Combined with volume logic, if subsequent buying continues and trading volume increases in tandem, it will further confirm trend strength. Breaking through previous highs becomes a high-probability event, and currently, going long in line with the trend offers a clear risk-reward ratio.

Operational Suggestions

Bullish Entry Zone: 2740-2800 (This zone aligns with short-term support levels and offers a higher safety margin)

Step Targets: First target 2900, second target 2960, key target 3000 (psychological and technical resistance resonance points)

Breakout Strategy: If the 3000 USDT key resistance is effectively broken, add to positions accordingly, with the target moving up to the next resistance zone

Risk Control Strategy: If the price fails to break through the key resistance and shows reversal signals, consider reversing to short positions. Stop-loss can be set below the upper boundary of the consolidation zone