Ethereum hit a new high again this morning, nearly reaching the $4000 mark. This breakthrough has excited the market, but it has also sparked in-depth thinking about future trends.

Analyzing the recent trading data, we found that the upward momentum since August 3 seems to lack strong volume support. Compared to the rise in July, the current trading volume has significantly decreased, which may suggest that market demand is cooling down. Although today has broken through the peak of July 28, the subsequent rapid decline further confirms the weakening of upward momentum.

Based on these observations, there are mainly two possibilities for the future development of Ethereum:

The first scenario is that Ethereum breaks through the $4000 mark and is expected to rise above $4200. In this case, we will see the beginning of a new bull market phase.

The second scenario is that Ethereum may have already reached a short-term peak and could experience a pullback next. It is worth noting that a double top pattern may form in this case, which is usually considered an important technical indicator.

Considering the current volume-price relationship, the second scenario seems more likely to occur. However, the high uncertainty of the cryptocurrency market means we cannot completely rule out any possibilities.

Regardless, investors should remain vigilant and closely monitor market trends. Before making any investment decisions, it is essential to conduct thorough research and risk assessment. The volatility of the cryptocurrency market has always been high, and even mainstream coins like Ethereum are no exception.

Overall, although Ethereum's recent performance has been impressive, market participants still need to maintain a cautious and rational attitude.