Ethereum (ETH) has held support near 140. That is a horizontal support zone going back to mid-year. Gann work in Ethereum (ETH), which is drawn by hand points to 160 as the most critical level on the upside.

So, while it is a bit of good news that Ethereum (ETH) held 140, Ethereum (ETh) has to get back above 160 and stay there for you to be able to say that the forced liquidation pressure is no longer in the market. Per a prior Idea, we think 153 is another critical level to watch.

Bottom Line: We spent so much time this year talking about how an Ethereum (ETH) rally was the key to future crypto upside. Then, we witnessed this price action, and it created a profound sense of discouragement. While it makes sense this discouragement might end soon, it may not. If the Chinese crypto crackdown is creating forced liquidation pressure, Ethereum (ETH) could still be in trouble if there is no follow-through on today's rally.

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