Last night, the Ethereum market experienced a strong rally, with the price rising nearly 150 points in a short period, reaching a high of $2090. However, this key resistance level failed to hold effectively, and the bullish momentum quickly exhausted after hitting the high, leading to a pullback in the market. As of now, the price has retreated to around $2030 for consolidation, indicating that although the bulls initially pushed higher, they faced strong supply pressure at the high, and market enthusiasm for chasing gains was lacking, preventing the rally from being sustained.

From a technical perspective, the recent high of $2090 coincides with a critical resistance zone on the daily chart (the 0.618 Fibonacci retracement level). The daily candle shows a long upper shadow, confirming the effectiveness of the selling pressure at this level. On the 4-hour chart, after a rally, the price formed a bearish engulfing pattern, while the MACD indicator showed a bearish divergence, and the RSI turned downward from the overbought zone, indicating that the upward momentum has weakened. The current pullback to $2030, a key support/resistance level, suggests that if this level is broken, the short-term upward trend will be completely invalidated.

Given the current market pattern of rising and falling, with pressure and correction, trading should focus on shorting the rebounds and cautiously chasing longs. Attention should be paid to the resistance strength in the $2060-$2090 area; if the price faces resistance there, it may be a good opportunity to establish short positions. The primary support is at $2030; if this level is broken, it could be a signal to short further, with targets toward the $2000 round number or even the previous low around $1980. Additionally, it is important to note that the current battle between bulls and bears is intense, with high volatility. Risk management is crucial—take profits when appropriate and avoid over-leverage.