ETH Breakdown Retest in Progress — More Downside Ahead?🧱 Breakdown Retest Structure
The triangle/wedge was broken to the downside around May 28–30.
After the breakdown, price has rallied back and is now hovering around the lower boundary of the broken triangle—classic bearish retest behavior.
This structure often plays out as:
Breakdown → retest of support as resistance → continuation down.
🔴 Confluence for Bearish Outlook:
Lower Highs + Weak Momentum: Recent price spikes are showing rejection wicks near $2,700, indicating seller strength.
Volume Drop: Weak follow-through on the bounce suggests it's a corrective rally, not accumulation.
EMA Pressure: The price is struggling to hold above the 20 EMA, showing hesitation.
Bearish AB=CD Structure: The rally from the bottom might be forming a harmonic ABCD correction before the next leg down.
Major Resistance Zone ($2,720–$2,800) is being respected—multiple rejections are evident.
⚠️ Bearish price projections:
If ETH fails to reclaim $2,720–$2,750 and closes below $2,580 on the 4H chart, expect downside targets:
🎯 Target 1: $2,460 (recent support zone)
🎯 Target 2: $2,220 (origin of the last rally)
🛑 Invalidation: 4H close and hold above $2,800 would invalidate this bearish thesis.
🧠 Summary
You're spotting what looks like a bearish retest after a breakdown, which is a high-probability short setup in technical analysis. While bulls are attempting to push back, unless ETH breaks back into the triangle, the path of least resistance looks down.
📌 Conclusion: Wait for a 4H rejection near $2,700 with strong bearish candle for confirmation. Stop above $2,800. Profit targets: $2,460 and lower.
