#BTC资金流动性 Ethereum Market Observation | Technical Review for December 20

How does the current $ETH situation look?

**The current trend is quite clear**

The daily chart shows no breakout of the bullish trend, the 4-hour is in recovery, and the 2-hour has potential. The current price is around 2965, with a 24-hour fluctuation between 2957-3008, nearly a 4.5% increase. It is standing above the MA7/25/99 (2959, 2897, 2913 respectively), with the middle band of the Bollinger Bands at 2930 providing support. RSI reads 52, indicating a neutral to slightly bullish state, and the MACD histogram is gradually expanding with the fast line still above the slow line.

The 4-hour chart is more interesting — the MACD golden cross is still ongoing, with the red histogram expanding; RSI is at 58, in the overbought zone, with the price above the middle Bollinger Band at 2940. The 2-hour chart shows a neutral situation, RSI at 51, with the price rebounding from the middle band at 2955, indicating a short-term bullish bias but with moderate strength.

**Support and resistance distribution**

Looking downward, 2950 is a key level — resonating with the middle bands on the daily and 4-hour charts; support is also found at the previous dense trading zone around 2900; 2870 is a hard support level.

Looking upward, 3010 is the 24-hour high, 3050 is a psychological barrier, and 3080 is the upper boundary of previous oscillations.

**Trading framework**

Bullish approach: wait for a pullback to the 2950-2955 zone (the 2-hour middle band + daily support), then enter with a small position. Set stop-loss at 2920 (1% below 2950, risk within 1.5%). Take profit in stages — first reduce 50% at 3010 (+2% profit), then reduce another 40% at 3050 (+3% profit), with the remaining 10% trailing stop-loss, moving up by 1.5% for every 2% increase.

Bearish opportunities are limited; only consider small positions if resistance at 3010-3020 holds and the 4-hour MACD shows signs of a death cross, with a stop-loss at 3040, targeting a return to 2960-2950.

If 2950 is broken and the 4-hour MACD weakens, it’s better to wait and see, confirming support around 2900-2870 before acting.

**Risk considerations**

If the market weakens, Ethereum often retraces along with Bitcoin, so keep an eye on BTC’s movement in the 88000-90000 range. In terms of capital management, risk per trade should not exceed 1.5% of total funds, and individual coin positions should be controlled within 20%. Strictly adhere to stop-loss rules.