Ethereum (ETH) is currently in a critical Technical Analysis phase. The price is fluctuating within a clearly defined rectangular consolidation zone, with upper and lower boundaries at 4490 and 4275, respectively. This pattern often signals an impending significant price movement.

Currently, ETH lacks obvious bullish signals. The market seems to be waiting for a breakout action, possibly inclined towards a downward breakout to gain liquidity. This downward trend may be intended to attract more trading volume in preparation for a potential subsequent rise.

It is worth noting that ETH has been consolidating around the EMA30 (30-day Exponential Moving Average), and this prolonged sideways movement is quite unusual, further confirming the view of insufficient market liquidity.

Traders can focus on two key short positions: 4430 and 4564. 4430 is a bearish Gartley pattern position, while 4564 is a false breakout point at the upper boundary of a rectangle. If the price drops from these levels, it may provide entry opportunities for bulls.

On the other hand, if ETH falls from 4430 and then retraces to the support-turned-resistance level, there may be a buying opportunity. In addition, it is important to closely monitor the two key support levels of 4168 and 4106; if these levels are broken, it could also provide entry points for the bulls.

Overall, ETH is currently in a phase that requires caution. Market participants should closely monitor price movements within the rectangular area and make corresponding trading decisions based on the direction of the breakout. Whether bullish or bearish, it is essential to be vigilant about potential sudden changes in the market and to formulate appropriate risk management strategies.