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ETH

SELL
Generated 28 days ago (January 04, 2026 at 12:40 AM)

Confidence Score

74.0%
High Confidence

Signal Analysis

Type: 🔴 Bearish
Action: SELL
Asset: ETH

🎯 Take Profit Target

Recommended Take Profit Price
$3,110
▼ 1.05% from current price

This is the primary price target for executing your trade. Place your take profit order at this level for optimal risk/reward based on current technical analysis.

Price Forecasts

7 Day
$3,095
▼ 1.52% from current
30 Day
$3,205
▲ 1.98% from current
90 Day
$3,380
▲ 7.55% from current

Detailed Reasoning

ETH is in a strong short-term uptrend (EMA12 > EMA26 > EMA50 > EMA200) with MACD positive (10.63 vs 8.24) and a rising histogram, confirming bullish momentum. However, conditions are now stretched: RSI(14) at 84.94 signals extreme overbought, and price ($3142.85) is trading above the Bollinger upper band ($3132.81) with very tight bandwidth (1.59%), a common setup for mean reversion or volatility expansion pullbacks. The last hourly candle shows a sharp impulse (high to $3158.4) on elevated volume (1.75x average), which often marks local exhaustion rather than a clean continuation entry. Order book is also ask-heavy (78.64 at ask vs 2.53 at bid), suggesting near-term overhead supply. Given the asymmetric risk of a snapback to the mid-band/EMAs versus limited near-term upside, I recommend closing longs / tactical short. Ideal stop loss for the short: $3162 (above the recent spike high + ~0.3 ATR).

Key Factors

1 RSI 84.94 + price above upper Bollinger band indicates overextended, high pullback risk
2 Exhaustion-style impulse candle with high volume (1.75x) after a grind up
3 Ask-side order book imbalance suggests near-term resistance/supply at current levels

Risk Assessment

Moderate-to-high risk: trend is bullish, so shorts are counter-trend and can be squeezed if price holds above the upper band. Key risks are continuation breakout above $3158 and volatility expansion. Manage with tight stop and partial profit-taking near supports.

Market Context

Bullish market structure with strong momentum, but currently overbought and extended above volatility bands; highest probability is a near-term mean reversion toward the mid-band/short EMAs before trend continuation.

Technical Data

Current Price $3,142.85
24h Change 0.42%
Trend Bullish
RSI 84.94 Overbought
Exponential Moving Averages
EMA 12
3,118.18
ABOVE
EMA 26
3,107.56
ABOVE
EMA 50
3,085.71
ABOVE
EMA 200
3,017.00
ABOVE
Bollinger Bands
Upper: 3,132.81
Middle: 3,108.14
Lower: 3,083.47