Ethereum encounters resistance at 2950 and drops! A small daily rebound in the bear market is just a trap for false signals

Author: Trading Master

The overall bear market trend is confirmed. The rebound on the Ethereum daily chart is merely a false signal created by the bears gathering strength. The precise resistance at $2950 is not only a technical inevitability but also a result of dual macro and capital pressures. Bottom fishers should not be blinded by the brief rebound!

Ethereum immediately plunged after touching $2950. The core reasons are threefold: First, the technical resistance has become a dead end. The $2940-$2950 range is the short-term upper boundary of oscillation, with $3000 being the critical dividing line between bulls and bears. The daily moving averages are in a bearish alignment, MACD is running below the zero line, and the rebound lacks volume support. The trapped orders around $2950 escaped, directly breaking the upward channel; Second, macro risk aversion is squeezing liquidity. Gold hitting a record high has absorbed a large amount of safe-haven funds. US spot Bitcoin ETF net outflows and shrinking stablecoin market cap indicate short-term liquidity stress. The quiet period before the Federal Reserve rate decision causes collective hesitation among funds, with no new capital entering. The rebound is ultimately a waterless spring; Third, under the bear market trend, rebounds are inherently fragile. The current crypto market remains in a large bear phase of oscillation and bottoming. Ethereum’s previous daily rebound was merely a technical correction after overselling, not a trend reversal. The pressure at $2950 is just a normal retracement within the larger bear trend.

Looking back at recent market movements, Ethereum has been oscillating between $2880 and $2950. The so-called daily small rebound has been characterized by decreasing volume and lack of strength, merely a trap set by bears for a better decline. From the support perspective, $2880-$2900 is a short-term weak support zone, while $2840-$2870 is the key defense line. Once this level is effectively broken, Ethereum will directly test the $2750-$2780 range. On the resistance side, $2950 has become a strong barrier. Without a volume breakout above $3000, any rebound is just a mirage.

In the context of the bear market, small daily rebounds lack sustainability. Ethereum’s recent resistance at $2950 and subsequent decline are just minor episodes within the larger downward wave. The only subsequent strategy is to short on rallies, strictly controlling positions. Do not blindly bottom fish above $2950, and beware of bears smashing the market again, triggering a large C-wave decline! Remember, every rebound in a bear market is an excellent opportunity to short. Precisely identify resistance levels to profitably increase holdings in the bear market!

Risk warning: The views expressed are for bear market trading reference only. Cryptocurrency markets are highly volatile; always set stop-losses and avoid full-position trading.

Trading Master’s view: Watch the $2880 zone below. If it breaks effectively, further downside is possible. The key point for a trend reversal is at $2970; only a firm hold can confirm the change. Yesterday missed it by 0.01 points, and today this resistance level remains. Friends who caught it, remember to take profits and set stop-losses. The upward pressure is still severe; further structural analysis is needed. #加密市场结构法案出现转机