Today, I would like to share my bearish outlook on Ethereum as of October 13.
The first basis for this view lies in the 0.707 Fibonacci retracement zone.
The 0.707 level is positioned between the traditional 0.618 and 0.786 ratios and is widely recognized in practical chart analysis as a zone where reversals frequently occur after an excessive retracement.
In particular, the 0.707 area is often interpreted as the final attempt by buyers, and resistance reactions at this level generally serve as signals of trend reversal.
Currently, Ethereum is facing upward pressure near this 0.707 ratio, suggesting that the likelihood of a short-term bearish reversal is gradually increasing.
The second basis is that the length ratio between arbitrary waves M and N is 1:1.618.
This forms a golden ratio structure, which aligns with a typical pattern where a corrective (retracement) wave appears after an asymmetrically extended impulsive wave.
In other words, when Wave N extends to 1.618 times the length of Wave M, it indicates that the market has entered an overheated phase — often followed by a corrective decline.
Accordingly, the average target price is set around 3,840 USDT.
Depending on the subsequent development of the chart,
I will provide updates on this idea, including position management and any notable changes.
Thank you for reading.
