ETH-“Channel Top Possible”

8-Hour Analysis:

Big Picture: As the RSI displayed strength after breaking through the trendline resistance, Ethereum’s pullback shaped out into a nice corrective phase. Furthermore, since testing the MA-200 level, Ethereum has recovered and gained 8.80% in a few sessions. To extend this corrective cycle and re-target the channel top, it is critical to hold onto intraday supports. Keeping strength at highs could open the way for the AB=CD pattern.

On the Upside after breaking over the 1700 barrier over the weekend, Ethereum tested 1730 and nearly reached the 1780 resistance level. However, when the price rose, sharp profit-taking was observed. Initial resistances for the session are currently forming at 1740 to 1750 levels. Strength exceeding 1750 would allow for a re-test of 1780. Once this resistance breached, it is likely to open doors towards 1800, followed by the channel top, which almost coincides with the horizontal resistance of 1820.

On the Downside price has effectively re-established the 1710-1700 levels as supports. Below these levels, Ethereum gets solid support from 1680. This supporting zone will be important for preserving current momentum. If price can hold these levels, Ethereum may see another wave of upside aiming for higher levels. If the 1680 support level is breached, a drop back into the MA-200 is likely.