$ETH followed Bitcoin right out the window after losing its multi-day diagonal support trendline that drove the entire rally from the $2,350 base.
The double top print at $2,806 was a textbook distribution trap, and the impulsive sell candle that sliced through the trendline confirmed the breakdown. Right now, price is putting in a weak corrective retest beneath immediate overhead supply at $2,713.84. As long as 1H candles keep rejecting under this $2,710 to $2,715 pocket, there is zero reason to chase longs. Path of least resistance favors a rotation back toward $2,640 and ultimately down into major structural demand at $2,563.38 (the 0.5 Fib confluence). If buyers fail to defend $2,560, the trap door opens for a full mean reversion down to the $2,350 origin.
Desk execution is simple: fade any relief wicks pushing into $2,705 to $2,715 targeting $2,640 and $2,563. Any hourly close printing and holding above $2,735 invalidates the short bias immediately, cut it with zero hesitation.
The double top print at $2,806 was a textbook distribution trap, and the impulsive sell candle that sliced through the trendline confirmed the breakdown. Right now, price is putting in a weak corrective retest beneath immediate overhead supply at $2,713.84. As long as 1H candles keep rejecting under this $2,710 to $2,715 pocket, there is zero reason to chase longs. Path of least resistance favors a rotation back toward $2,640 and ultimately down into major structural demand at $2,563.38 (the 0.5 Fib confluence). If buyers fail to defend $2,560, the trap door opens for a full mean reversion down to the $2,350 origin.
Desk execution is simple: fade any relief wicks pushing into $2,705 to $2,715 targeting $2,640 and $2,563. Any hourly close printing and holding above $2,735 invalidates the short bias immediately, cut it with zero hesitation.
