@ChainbaseHQ
#chainbase ETH weekly line bullish target 4200? Beware of potential risks!
From the weekly line perspective, ETH's strong rally is likely headed towards around 4200. The previous two similar consecutive surges peaked around 4100, but "third time's the charm" - this time it may very well break through 4100 and even set a new high.
The logic is simple: a large number of shorts will see 4100 as a strong resistance level, placing stop-losses above 4100. The main force is likely to push above 4100, triggering the liquidity of short positions before pulling back.
But be aware of the risks:
If the breakout fails, a quick pullback may occur.
It is recommended to focus on spot trading this week, and to open contracts gradually to avoid being wiped out by a sudden move.
In summary: the trend is bullish, but manage your risk well, don't fall before dawn!