【$ETH Signal】Oversold Rebound Play! 1H Extreme Oversold, Waiting for a Bottoming Signal to Snag

$ETH The 1H timeframe is experiencing sideways consolidation after a waterfall decline, with the price reaching the 1939-1941 zone. The 1H RSI has dropped to 19.82 in the extreme oversold area. Looking at the 4H level, a large bearish candle has directly broken through all short-term moving averages, indicating a bearish trend. However, the downward momentum has released too quickly, creating a technical rebound demand. Currently, selling pressure is concentrated around 1941.5, but buy orders below are still substantial, open interest remains stable, and there is no sign of panic selling—more like a vacuum zone after a passive liquidation of longs.

🎯Direction: Wait and See (Pending Orders ) - Await clear bottoming signals or breakout signals for a rebound.

⚡Order Strategy:

1. 【Aggressive Long Position Setup】Buy Limit @ 1935.00 (Reason: Previous low psychological support, near 1H ATR lower band )

2. 【Breakout Confirmation for Long Entry】Buy Stop @ 1968.00 (Reason: Break above the 1H downtrend channel upper boundary and EMA20_1h resistance, confirming rebound initiation )

🛑Stop Loss:

- Order 1 Stop Loss @ 1920.00 (Reason: Break below previous low 1939, confirming continued decline )

- Order 2 Stop Loss @ 1950.00 (Reason: Failed breakout, re-entering the consolidation zone below )

🚀Target 1:

- Order 1 Target @ 1995.00 (Reason: Resistance at the previous small platform on 1H and near EMA50_1h )

- Order 2 Target @ 2015.00 (Reason: Middle of the large bearish candle on 4H and EMA20 resistance )

🚀Target 2:

- Order 1 Target @ 2025.00 (Reason: Strong resistance zone at 4H EMA20 )

- Order 2 Target @ 2050.00 (Reason: Previous high resistance on 4H )

🛡Trade Management:

- Position Suggestion: Light position (Reason: 4H trend remains bearish, rebound nature is still uncertain, risk is high )

- Execution Strategy: If Order 1 is filled, and the rebound reaches near Target 1, reduce position by 50%, and move stop loss to entry point. If Order 2 is filled, consider it a stronger signal, hold until Target 2, but closely monitor whether 1968 support remains effective.

Deep Logic: Price drops 7%, but open interest remains stable, indicating the decline is mainly driven by spot selling or long leverage liquidations rather than active shorting. Slight negative funding rate ( -0.0033%), with no strong short squeeze risk. The 1H RSI is severely oversold, indicating a strong technical correction is needed. The key is whether a bullish engulfing or hammer pattern can form in the 1930-1940 zone on the 1H chart. The order book depth shows a wall of 43.5 ETH above 1941.5, which is the first hurdle for a rebound.

Trade here 👇 $ETH

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