Entering late January, Ethereum's technical outlook has shown some interesting changes.

From the candlestick chart, the double bottom pattern around 3160 has formed a relatively standard structure—two dips followed by stabilization. This pattern usually indicates solid support below. Interestingly, the recent sharp decline now appears to be a typical shakeout rather than a genuine trend reversal.

The more critical signal comes from trading volume. Recently, the volume on several candlesticks has been gradually increasing, which often suggests that bullish funds are starting to enter. Against the backdrop of Bitcoin maintaining a strong stance, as the leading ecosystem, Ethereum theoretically has room for a rebound. The double bottom pattern combined with rising volume indeed signals an increasing bullish momentum.

Many traders are paying attention to the performance within the 3130-3160 range. If there is an upward breakout from here, the resistance around 3280 will become the next focus. Of course, no technical pattern is foolproof, and the market always contains uncertainties. Everyone should rely on their own judgment.