2-Hour Analysis:
Big Picture: ETH is in a downtrend and has formed a falling wedge pattern. On the downside, multiple supports are now evident, all of which are likely to provide sufficient support. However, the downturn is likely to continue as long as ETH is in a falling wedge pattern. A breakout of the pattern, on the other hand, would take the price higher, first to 3150-3170 and then to 3300.
The Upside 3052 is the first point of resistance for the day, followed by 3070. Because this level of 3070 is the upper channel area of the falling wedge pattern, any break above it might result in a pattern breakout, with 3150-3170 as the first upside target, followed by 3300. In order to break free from current selling and reclaim the bullish momentum, ETH would need to maintain a foothold above 3300.
On Downside Between 2975-2950, there is a significant level of support. Since a few days, this level has been preventing any further decline. If this is lost, the market will fall further, first to 2920 and then to 2880-2820. Due to a few confluences of supports, these support levels are also quite powerful. On these lower levels, expect strong short-coverings followed by fresh-buying.
