ETH's Strong Rebound After the Downtrend Ends - A Perfect Resonance of Macro Policies and Technical Analysis

Trump signs funding bill, eliminating the risk of a government shutdown and significantly reducing macroeconomic uncertainty. This is followed by a strong rally in Ethereum (ETH)—a typical sign of market relief after bearish pressure has been exhausted. When positive policy news resonates with technical oversold rebounds, it often leads to the most representative reversal patterns.

End of Government Shutdown – Eliminating Market Uncertainty

The ongoing U.S. government shutdown has raised concerns across global financial markets. Whenever policy outlooks are uncertain, risk assets tend to lose upward momentum. After Trump signed the funding bill, this macroeconomic bearish signal was fully cleared, and investor doubts dissipated. At this point, markets often undergo sharp directional corrections, with risk assets becoming the primary focus of capital allocation. As a mainstream cryptocurrency, ETH naturally leads the rebound under favorable macro conditions.

Oversold Rebound Initiated – Technical Resistance Released

From a technical perspective, the previous sharp decline has fully released bearish sentiment. When positive policy news emerges, technical rebounds tend to be particularly vigorous. According to market data, ETH surged directly from around $2,100 to $2,354, an over 11% increase in a single move. Behind this rapid rise are both macro news-driven factors and a natural technical rebound after oversold conditions—these combined forces created this strong rally.

Currently, ETH is trading at $1,950, down 0.70% over the past 24 hours. Although it has pulled back from recent highs, the core logic of the rebound remains valid: the exhaustion of bearish pressure is an important signal for trend reversal.

Investment Opportunities After Bearish Exhaustion

Market principles are clear: when macro bearish signals are digested and technical resistance is released, it often marks the most certain window of opportunity. The exhaustion of bearish sentiment signals the end of pessimism and also indicates the start of subsequent rebound momentum. Whether it’s a short-term technical bounce or a medium-term trend reversal, such a “turning point” is necessary to trigger the move.

For investors tracking ETH developments, understanding the market rule of “bearish exhaustion” is far more important than chasing short-term price swings. When the next major bearish news truly exhausts itself, your ability to accurately identify and seize the opportunity is the core skill in trading.