ETH-“Buy on Dip: Effective”

1-Day Analysis:

Big Picture: For the previous few weeks, price has maintained an incredibly positive trend. In this time, Ethereum has gained more than 40% and is continuing trending upward. The momentum, on the other hand, is now beginning to decelerate and see phases of consolidation. Going forward, bulls appear to be in charge for the time being and are expected to keep their position as long as Ethereum holds the 1350 level. Any price drop will provide a chance to reload.

On the Upside the price is currently testing the 1680 level of resistance. This level has not been violated in more than 135 trading sessions. If Ethereum breaks over this level, it will be another victory for the bulls. Buyers have been highly active since the start of the New Year, denying sellers any win for the time being. Strength over 1680 will open the door to further gains initially towards 1735, followed by 1790-1820 levels.

On the Downside EMA-250 is now serving as a strong support level. This level restrained price for a few days, but since it was regained, it has provided solid support for Ethereum. Below this level, the next support can be found at the EMA-200 level at 1515. Both of these EMAs provide immediate support for Ethereum. As long as price remains above them, the overall trend will continue to rise; but, if price goes below these supports, then Ethereum will most likely witness a re-test of 50% Fibonacci support at 1425 level.