After reducing positions on ETH from 3300 and going short, ETH has already fallen by 7.69%. This morning, after a rebound, it failed to hold above 3150 and continued to decline.

The outlook for ETH is not optimistic now, with two key levels to watch:

The first is around 3100, and the second is around 3050. If 3100 cannot hold, it indicates a very weak market, increasing the probability of a red route trend, with a confirmed break below 3050.

If ETH does not effectively break below after testing 3050, it may rebound as shown in the blue route, then start to decline.

If it cannot break through the 3300 level in the near future, ETH's trend will look very poor. I will observe more in the coming days; if it cannot break out, I am considering closing my long positions and setting up short positions.