ETH Weekly Report | High-level narrowing fluctuations, the direction is clear

1. Market highlights <br/>Current Ethereum price: 345
Volatility last week: 3.56%
Operation suggestion: Narrow range fluctuation, watch more and do less
2. Trend Analysis <br/>As analyzed last Monday, the price of Ethereum is fluctuating in a narrow range. However, the market continued this trend in the past week and did not make a clear choice of direction, which means that the patterns analyzed last week (the head and shoulders at the top of the daily chart and the teacup with handle pattern on the 12-hour chart) are still valid. The construction period of these two patterns is a bit long, and investors should wait patiently.
Looking at the daily chart, the volatility at this level is gradually shrinking, and both long and short sides are temporarily content with a state of equal strength. In the symmetrical triangle pattern, if the price fluctuates to the top (the intersection of the two lines of the pattern) before choosing to break through, it indicates that it is very likely to fall back again after breaking through the upper line. In addition, during the period of oscillation within the pattern, there is no sign of extreme energy shrinkage, and investors should be alert to this signal. If the coin price effectively falls below the upper line in the figure (also the neckline), then the short side will launch a round of offensive, and the outlook is bearish.
Looking at the 12-hour chart, as analyzed last Monday, it takes energy to break through the handle. If the price breaks through the handle pressure line with reduced volume, it will reduce the room for growth. Last Wednesday, the price did not increase in volume when it broke through the handle pressure line, and it fell below this pressure line only the next day, and the possibility of formation failure increased. In addition, the MA60 running direction at this level shows signs of falling, and investors should be vigilant and lock in profits.
On the whole, the signs of bullish weakness are becoming more and more obvious, and we should remain cautious about the room for future gains. If there is no significant trading volume when breaking through the pressure line, we should not participate in heavy positions.