The Truth About ETH Short-Term Pullbacks

Recently, ETH experienced a 1-hour level correction, and many people started to panic upon seeing the green candles. But from a different perspective, this may not be a bearish signal at all.

On the technical side, the Bollinger Bands have already opened downward, and the price is oscillating near the lower band. The MACD green histogram has significantly expanded. At first glance, it looks like strong bearish momentum. On-chain chips also show signs of loosening, coupled with some recent negative news, which has painted a very pessimistic market sentiment. It's normal for retail investors to be easily frightened.

However, there's a key point to understand — such rapid declines are often a form of shakeout. The main players are clearing out less committed holders on the hourly level to lay the groundwork for subsequent actions. The movements of smart money on-chain have already shown subtle changes, but most people haven't realized it yet. As for the negative news? Most of it is old stories being rehashed; the core fundamentals haven't actually deteriorated substantially.

From the current technical pattern, the bearish momentum on the hourly level is nearing exhaustion. The rebound window is opening, and key support and resistance levels have been clearly estimated. The real trading opportunity lies within this golden zone.

The upcoming market trend is crucial; missing this wave might mean waiting a long time. Timing and position management for bottom-fishing need to be carefully handled. Now is the time to prepare for the next upward move.