The Chart Analyst

$ETH | Short Setup — 2026-07-22
📉 Bias: Short (reactive, not chasing)
Trigger: Only short after price trades into $1960–$1966 and fails to hold above that zone on 4h or lower close.
🎯 Setup
Entry: $1960 – $1966
Stop-loss: $1978
TP1: $1934
TP2: $1905
Why this zone:
4h trend is still structurally up, but momentum is fading — MACD histogram negative, KDJ on a dead cross, price sitting under overhead supply. Strongest short-liq cluster + 24h max pain sit at $1960.36–$1963.42, with dense asks stacked $1948–$1957 and more resistance at $1974–$1983. Sweep-and-reject short offers the best R/R here.
Macro backdrop:
No clean confirmation for a breakout — ETH showing exchange net inflows across 1h/4h/24h/3d, whale short value outweighing long value, and tactical OI at an extreme high (raises flush risk after any squeeze). ETF flows are marginally positive, but prior persistent outflows, contracting stablecoin supply, and 10Y yields near 4.6%+ keep the broader macro mixed rather than bullish.
⚠️ Invalidation: Acceptance above $1978 → squeeze likely expands toward higher short-liq pockets, thesis is wrong.
Summary: Short $ETH /USDT on a sweep into $1960–$1966, stop $1978, targets $1934 → $1905.
Not financial advice — DYOR. Trade at your own risk.
#ETH #ETHUSDT #CryptoTradingSignals #TechnicalAnalysis