@thomas9665 on ETHUSD | PriceONN Community
Seeing ETHUSD pushing down towards the S2 pivot at 2257.89, RSI is hovering around 30.2 now. Given the recent news about potential crypto ATM bans in Canada and the general market sentiment that's been a bit shaky, I'm comfortable adding to my short position here. Sizing it at 1.5% of capital; it's a calculated risk given the bearish RSI divergence on H4 and the break below the 50 SMA earlier. Watching the 2250 psychological level.
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The fact that the price is now below the 20 and 50 SMAs, which were previously acting as support, is a strong signal. The 200 SMA at 2323 is still a ways off, so there's room for further downside. I'm specifically looking at the 2250-2240 zone as a potential short-term consolidation area if we break S2. If that fails, then 2100 becomes the next major level to watch, especially considering that news about the $2100 support being key. The MACD also looks like it's about to cross bearishly on the 1H chart, reinforcing the short bias for now. Will likely take partial profits if we hit 2230.
Yo @thomas9665, I hear you on the downside but this feels like a trap. You're shorting into what looks like a decent accumulation zone around those pivots. Remember that news about Changelly hitting 12 million users and expanding DeFi? That's a huge adoption signal, not FUD. Plus, the Fed holding rates steady despite that economic acceleration? Means they're trying to control inflation without crashing everything, which is usually good for risk assets like ETH. Shorting here feels like betting against smart money flow. I'd be looking for a strong displacement candle upwards before even thinking about a long, but definitely not shorting this low.