Last night's Ethereum trend warrants a thorough review.

As of the evening of January 5th, ETH is quoted at 3176, up a bit from the previous few days' 3059, but today's increase is only 0.96%, clearly indicating a slowdown in momentum. During the session, it briefly tested 3220 but failed to hold that level, subsequently facing resistance and pulling back.

From a technical perspective, warning signals are quite evident. The two lines of the MACD indicator are rapidly converging, and the previously clear golden cross pattern has dissipated, indicating that the upward momentum is waning. More intuitively, trading volume has noticeably shrunk compared to earlier days, and this pattern of rising on declining volume is somewhat unhealthy. The price itself is stuck in an awkward position—supported by the middle band of the Bollinger Bands around 3120, with resistance at the upper band near 3198. Currently, it’s oscillating between these two lines.

For friends already holding positions, consider the 3120 level as a bottom line. As long as this support isn’t broken, you can continue to hold. However, if the price cannot push past the previous high of 3220, consider taking profits in stages to lock in gains. If you want to enter a new position, my advice is not to rush to chase; waiting for a pullback opportunity is more worthwhile. Pay attention to two key points: one is whether the price can stabilize around 3120, and the other is if there’s a significant decline, watch the 3050 area for further signals. The safer entry point will be when volume resumes and the MACD indicator reopens its golden cross.

Overall, this wave of market movement has not completely reversed, but in the short term, there’s little strength, and it’s likely to oscillate at high levels or experience a correction. Everyone should avoid being too aggressive; observing more and acting less is currently the most prudent approach.