#OnChainInsights #OnChainInsights Considering the ETH/USDT chart on the 4-hour timeframe:
Analysis of key levels:
1. Resistance level 2849.70:
The price is currently very close to this level after a strong upward wave.
If it breaks 2849.70 with a strong candle close above it, it may continue to rise to higher levels like:
2950.00 or even 3000.00 as the next upward targets.
However, if it fails to break and shows weakness, it may start correcting downwards.
2. Support level 2605.44:
This is the nearest strong support, and the price has bounced from it multiple times.
If a correction occurs from the current resistance, it may drop to test 2605.44 as the first support.
And if it breaks 2605.44, the next target may be at 2520.02.
Possible scenarios:
In case of a breakout upwards:
Enter a buy after confirming the breakout with the first target at 2950.00 and a second target at 3000.00.
Stop loss below 2849.70.
In case of a downward rebound:
If the price shows weakness at resistance, you may place a sell order targeting 2605.44.
Stop loss above 2849.70.
Additional tips:
Monitor price movement at 2849.70 as it is a critical level.
Follow trading volume to confirm the strength of the breakout or rebound.
Using additional indicators like RSI or MACD may help you confirm the signals.
If you want any clarifications or additional assistance, let me know.