Based on the latest market data, Ethereum (ETH) is currently in a critical technical trading range. As of December 31, the price fluctuates around $2,980. Overall, the current market is intertwined with both bullish and bearish factors, and the short-term direction remains unclear.

Below, we have summarized the key market dynamics, viewpoints from both sides, and specific strategy references tailored to different trading styles.

📊 Core Price and Technical Levels

· Key Resistance Levels: $3,000, $2,991 (short-term), $3,363 (major)
· Key Support Levels: $2,900-$2,921, $2,750-$2,700 (strong consensus support)
· Market Sentiment: Overall leaning towards “Fear”
· Recent Trend: Trading within the $2,900 - $3,000 range, awaiting a directional breakout.

🤔 Market Bullish and Bearish Viewpoints Comparison

To help you better understand the current market divergence, here are the main arguments from both bullish and bearish sides:

Bullish Viewpoints

· Technical Breakout Needed: Analysts believe that if ETH can sustain above $3,000, it may trigger a new upward trend. Some studies indicate that ETH could see a trend reversal in January.
· Fundamentals Supported:
· Core of Real Asset Tokenization: Ethereum is the main platform for tokenizing stablecoins and real assets (such as real estate and bonds), holding over $180 billion in related assets.
· Institutional Adoption Accelerating: For example, JPMorgan has built its money market fund (MONY) tokens on Ethereum.
· Long-term Optimism: Institutional analysts predict ETH could reach $11,800 by 2030.

Bearish/Cautious Viewpoints

· Technical Resistance Clear: Price repeatedly faces resistance at the $3,000 key level and fails to break through effectively. If it falls below $2,900 support, further decline may occur.
· Market Sentiment Dour: The “Fear and Greed Index” for cryptocurrencies is at 29, in the “Fear” zone. Institutional funds are showing net outflows.
· Macro Uncertainty: The market is awaiting macro events such as the Federal Reserve FOMC meeting minutes, which could trigger short-term volatility.

💡 Two Reference Trading Strategies

You can choose between the following two approaches based on your risk tolerance and trading style:

· Strategy One: Aggressive (Intraday/Short-term Trading)
· Key Levels: Keep a close watch on $2,900 (support) and $3,000 (resistance).
· Long Opportunities: If the price breaks out with volume and stabilizes above $3,000, consider entering long positions, with short-term targets of $3,100 - $3,200.
· Short Opportunities: If the price falls below $2,900 without a rebound, it may test the support at $2,750.
· Strategy Two: Conservative (Swing/Position Trading)
· Advice: Maintain patience in the current uncertain range-bound market; avoid heavy positions.
· Positioning Opportunities: If the price retraces to the strong support zone of $2,750 - $2,700, it could be a good risk-reward entry point for medium to long-term investors.
· Confirmation Signals: Wait for a clear breakout above $3,000 with stabilization, or signs of strong support (such as long lower shadows, increased volume) before considering entry.

⚠️ Important Risk Warning

1. High Volatility: Cryptocurrency prices are highly volatile; all levels mentioned can be quickly broken. Set stop-loss orders accordingly.
2. Macro Events: The release of the Federal Reserve FOMC meeting minutes tonight (December 31) may cause sharp short-term market fluctuations. Be cautious.
3. Independent Thinking: The above analysis is based on public information and does not constitute investment advice.