ETH/USDT We Can Expect a BIG MOVE SOON! (Ethereum Analysis by De
Happy Sunday Everyone!
This is my first Ethereum Analysis that I'm posting here on TradingView, I hope you guys enjoy it and/or find it helpful!
I found that Ethereum was coming to a crytical point and here is my analysis on three different time frames:
I'm personally more bullish in this scenario as we have a lot of very solid support to work with.
Support:
1 Weekly:
Here on the weekly chart below we can see that ETH is working on its second higher low, in the second strong support area since falling through the first one which also confirmed the downtrend that started in November last year.
We also have to note that this higher low is developing on the 50% level which is a crucial level on the Fibonacci retracement in general, but here specifically we are retracing the uptrend that started back in march 2020.
The 50% level, even tho it's not a traditional Fibonacci retracement level, it's important as marks the center of the "compression area" (38.2%-61.8%) on the Fib. retracement, which is decisive for trend reversals. This serves as strong support on its own and could give us another attempt at breaking the current downtrend, but we have at least one more element giving us support.
ETH has also been forming an ascending channel since January 2021 and the previously mentioned Fib. level that we are currently on, also aligns with the support of that ascending channel.
On the chart you can see that the support has been very reliable historically.
1D:
Here on the daily ETHUSDT chart we can see that from a Fibonacci retracement perspective, things look a little less promising. On the retracement of the current downtrend since November last year, we need to regain the 23.6% level that is currently our first local resistance point.
The most notable indicator is the triangle that is coming to it's apex and therefore we can expect some volatility in price action soon!
I would like to use this opportunity once again to remind you that I mainly focus on horizontal lines when it comes to price and I use such chart patterns mainly as indicators of time or to spot potential trend reversals.
4h:
And finally for the immediate short-term here on the 4h chart we take a closer look at the local Fib. Retracement of the uptrend since we found our current low in January.
Here we can see that we are sitting right on top of the Golden pocket, in line with the support of the triangle which we have also seen on the previous chart. Here we can see that the wicks were formed by a couple bear traps and therefore we can potentilly expect another one in the coming week before we see a confirmed move into either direction.
Confirmation to the upside:
Weekly Confirmation:
A close on the weekly above 3.060$ rougly would be above the previous local high and also above the 38.2% level of the Fibonacci Retracement from the uptrend since march 2020.
(see weekly chart above 👆)
Daily Confirmation:
On the daily we want to close above the same local high but here we are looking for a candle close of around 3.250$ to confirm a brake of that high and a potential continuation of the uptrend.
Below we have a few more resistance levels that we need to close above on the Daily chart:
- 23.6% Fib. Retracement of the downtrend since November (candle close above 2.800$)
- EMA Ribbon (2.777$ to 2926)
- Resistance of Triangle
(see daily chart above 👆)
4H confirmation:
- Here we have the Fibonacci retracement of the local uptrend since january, our first target will be to close and confirm above the 38.2% retracement level which is in line with the resistance of the triangle at around 2.860$ If we break that we are likely to test the 23.6% level again around 3.030$ which we failed to break on our very last rally attempt.
- Lastly, just like on the daily chart, we are looking for a candle close above 3.250$ to confirm the continuation of the uptrend.
(see 4h chart above 👆)
I would like to add that this post is meant exclusively for educational purpose and that non of my posts are financial advise.
As always, A BIG THANK YOU for stopping by, I hope you liked my post! If you did, please take a second to drop a like or comment, every engagement puts a smile on my face, but also helps me to get my ideas out to many more of you guys! 😃🙏
Happy Trading ✌♥📈
This is my first Ethereum Analysis that I'm posting here on TradingView, I hope you guys enjoy it and/or find it helpful!
I found that Ethereum was coming to a crytical point and here is my analysis on three different time frames:
I'm personally more bullish in this scenario as we have a lot of very solid support to work with.
Support:
1 Weekly:
Here on the weekly chart below we can see that ETH is working on its second higher low, in the second strong support area since falling through the first one which also confirmed the downtrend that started in November last year.
We also have to note that this higher low is developing on the 50% level which is a crucial level on the Fibonacci retracement in general, but here specifically we are retracing the uptrend that started back in march 2020.
The 50% level, even tho it's not a traditional Fibonacci retracement level, it's important as marks the center of the "compression area" (38.2%-61.8%) on the Fib. retracement, which is decisive for trend reversals. This serves as strong support on its own and could give us another attempt at breaking the current downtrend, but we have at least one more element giving us support.
ETH has also been forming an ascending channel since January 2021 and the previously mentioned Fib. level that we are currently on, also aligns with the support of that ascending channel.
On the chart you can see that the support has been very reliable historically.
1D:
Here on the daily ETHUSDT chart we can see that from a Fibonacci retracement perspective, things look a little less promising. On the retracement of the current downtrend since November last year, we need to regain the 23.6% level that is currently our first local resistance point.
The most notable indicator is the triangle that is coming to it's apex and therefore we can expect some volatility in price action soon!
I would like to use this opportunity once again to remind you that I mainly focus on horizontal lines when it comes to price and I use such chart patterns mainly as indicators of time or to spot potential trend reversals.
4h:
And finally for the immediate short-term here on the 4h chart we take a closer look at the local Fib. Retracement of the uptrend since we found our current low in January.
Here we can see that we are sitting right on top of the Golden pocket, in line with the support of the triangle which we have also seen on the previous chart. Here we can see that the wicks were formed by a couple bear traps and therefore we can potentilly expect another one in the coming week before we see a confirmed move into either direction.
Confirmation to the upside:
Weekly Confirmation:
A close on the weekly above 3.060$ rougly would be above the previous local high and also above the 38.2% level of the Fibonacci Retracement from the uptrend since march 2020.
(see weekly chart above 👆)
Daily Confirmation:
On the daily we want to close above the same local high but here we are looking for a candle close of around 3.250$ to confirm a brake of that high and a potential continuation of the uptrend.
Below we have a few more resistance levels that we need to close above on the Daily chart:
- 23.6% Fib. Retracement of the downtrend since November (candle close above 2.800$)
- EMA Ribbon (2.777$ to 2926)
- Resistance of Triangle
(see daily chart above 👆)
4H confirmation:
- Here we have the Fibonacci retracement of the local uptrend since january, our first target will be to close and confirm above the 38.2% retracement level which is in line with the resistance of the triangle at around 2.860$ If we break that we are likely to test the 23.6% level again around 3.030$ which we failed to break on our very last rally attempt.
- Lastly, just like on the daily chart, we are looking for a candle close above 3.250$ to confirm the continuation of the uptrend.
(see 4h chart above 👆)
I would like to add that this post is meant exclusively for educational purpose and that non of my posts are financial advise.
As always, A BIG THANK YOU for stopping by, I hope you liked my post! If you did, please take a second to drop a like or comment, every engagement puts a smile on my face, but also helps me to get my ideas out to many more of you guys! 😃🙏
Happy Trading ✌♥📈
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