Ethereum: Bearish Pullback in a Bullish Structure 04 July 2025 Today’s analysis focuses on Ethereum (ETH), which has enjoyed a strong rally over the past several days. The latest move began with a clean breakout above the blue rectangle, a consolidation range that ETH had been trading within. This breakout was a clear bullish signal, confirming strength in the mid-term trend. However, things have changed in the short term. After the bullish escape, Ethereum formed a head and shoulders pattern, marked clearly with yellow highlights. This classic reversal formation has now been confirmed by a break below the black neckline, activating a short-term sell signal. With this pattern in play, traders can now look to two potential downside targets: The upper boundary of the blue rectangle, which may now serve as support. The red uptrend line, which has guided Ethereum higher since the previous swing low. While the short-term pressure points to a retracement, the mid-term outlook remains positive as long as Ethereum holds above the red trendline. A bounce from this trendline would likely reassert the prevailing bullish trend. In summary, Ethereum presents a short-term selling opportunity within a broader uptrend, offering tactical entries for both bulls and bears — depending on timeframe and risk appetite.