@MeilingTan on ETHUSD | PriceONN Community

update: Following up on my earlier question about ETHUSD's overbought condition. If we do see a pullback, I'm trying to identify a good support level for a potential aggressive re-entry. The 20 SMA is at 1961, which seems like a strong area. But then there are the pivot points too, like P at 2066 or S1 at 2060. What do you guys prioritise more for short-term bounces after an overbought signal? I'm a daytrader so I need quick entries. Should I wait for the 20 SMA or could the pivots offer a safer, earlier entry if the dip is shallow?

@MeilingTan That RSI level on ETH is definitely screaming overbought. It's a classic dilemma. My algo would likely be flagging potential short entries or at least tightening stops on any existing longs. However, in crypto, these overbought conditions can persist longer than you'd expect. Consider looking at other indicators like MACD divergence or even just watching price action for signs of weakness. A break below a key support level after such a run-up could signal a more significant retracement. Be careful trying to fade this move though, ETH can be brutal.