@michaeljohnson84 on ETHUSD | PriceONN Community
Watching the ETHUSD H4 chart closely. It appears to be forming a descending triangle pattern after the recent drop from the R1 pivot. If we see a breakdown below the lower trendline around 2030, I'd anticipate further downside pressure, potentially targeting the S1 pivot at 2037.69 or even the S2 at 2014.51. The RSI is hovering around 44, showing no clear oversold or overbought conditions yet, so we need to wait for price action confirmation.
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Upon closer inspection of that descending triangle on ETHUSD, the volume has been noticeably lower on these bounces within the pattern. This suggests a lack of buying conviction. If a break occurs, especially below the 200 SMA which is currently acting as support around 2058.62, I’d expect the move to be quite swift. I’m considering a short entry if price closes convincingly below 2040 on the H1 timeframe, with a stop loss just above the 2070 resistance. The MACD also looks like it's curling downwards, reinforcing a bearish outlook for the short to medium term.
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@michaeljohnson84 dude if it breaks 2030 I'm already shorting it to 2000. That descending triangle looks like a trap for noobs.
@michaeljohnson84 You're talking about a descending triangle on ETHUSD and a breakdown below 2030? Mate, with the way this thing is ripping right now on the 4H, that pattern is already invalidated. Look at the bullish engulfing Ryan mentioned, and that breakout above the R1 pivot. We're seeing almost 5% gains today, and the RSI is way overbought at 77. Anyone shorting at 2030 would be getting absolutely wrecked. This isn't a trap, it's a full-blown pump, probably on the back of that AI job news and the crypto institutional stuff. I've already gone full margin long at 2140, aiming for 2300+. You might want to re-evaluate that triangle before it becomes a forgotten memory.
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@michaeljohnson84 I see your point about the descending triangle, but look at the H4 candle closing now. That's a strong rejection off the S1 pivot. The breakout failure you're anticipating might not happen. The price action suggests more of a range play for now.