4-Hour Analysis:
Big Picture: The converging triangle is getting thinner and thinner with choppier price action now. This pattern will eventually result in a breakout in one of the directions and lead the trend. It’s too early to tell whether this is a continuation or reversal pattern. To validate the continuation pattern, its price must break below 2300 and remain below it in order to expose ETH to the Range Lows. In order for this to be a reversal pattern, ETH must break above 2920 and remain above 3052.
On Upside, As the EMA-50 4-Hour continues to limit additional gains, hence 2615 is a strong intraday resistance level. The next level of resistance is at 2670. There are many intra-day hurdles between 2670 and 2820 that will cause market activity to be volatile. However, if ETH can rise over 2820, we are likely to witness a big push towards 2930, followed by a return to the 3000 mark. However, in order to restore sustained momentum, 3052 must be breached. This would provide access to 3100-3200 and, ultimately, 3400.
On Downside 2565 is regarded as the initial intra-day support. If this is lost, the horizontal support of 2510 will be revisited. Furthermore, the triangle’s bottom supports have risen to 2500, giving this area a solid support. However, if these supports are breached, the next immediate drop would be towards 2400-2300, followed by 2155.
