Will ETH stay rangebound or retreat further?

• ETH rejected from the $2,340 horizontal resistance we have had outlined for several weeks.
• On last night's leverage flush out, ETH retraced its full range, from $2,340 back down to the horizontal support of $2,130.
• The retrace also bounced from the main uptrend.
• In last week's Market Direction, we highlighted $2,130 as a DCA level.
• OI has decreased following yesterday's move from recent highs of $7.9b down to $7.1b. A good 10% decrease, which is good.
• Funding has reset back to 0.01%, which indicates that the leverage flush-out has reset positioning substantially, and the market is back in a healthier area in terms of mechanics.

Cryptonary's take

Following yesterday's move, aggressive leverage build-up isn't likely to happen again in the very short term. This may mean that prices stay more range-bound here.

If price can come down and retest $2,130, we will continue to DCA at that level.

If price falls beneath the uptrend line, we would continually DCA into the $1,900 to $2,100 range.