8-Hour Analysis:
Big Picture: Ethereum maintained aggressive strength during the Friday session and continued to target higher resistance levels. Buyers, however, were unable to maintain that momentum and soon gave way to profit-taking. Furthermore, that push aggravated the bearish divergence. However, the trend remains bullish, but with complex bearish divergence, aggressive risk management is advised. As losing key intra-day supports could likely call upon a re-test of lower supports.
On the Upside similar resistances have resurfaced as price has lost control of them. The initial resistance level remains at 1595-1600. Above this, the next level of resistance is at 1625, followed by the 1670-1680 range. This resistance at 1670-1680 is relatively strong and must be broken in order to continue higher.
On the Downside there are a couple of supports in the form of trendlines and the EMA between 1525 and 1510. Both of these supports are critical in keeping aggressive sellers at bay. As long as these supports hold, the bearish divergence will be limited in its impact. However, a buildup of pressure below these levels will quickly expose Ethereum to 1480, followed by 1400-1380, which remain the breakout-based supports.
