8-Hour Analysis:
Big Picture: Ethereum lost its trendline-based support and continued to slide. Previous reports warned of an aggressive sell-off due to the formation of complex divergence. This was a much-needed breather for bulls, enabling them to re-set the momentum indicators. Going forward, Ethereum may remain volatile within this range and must maintain these breakout-based supports in order to keep the bullish bias.
On the Upside 1520 has been established as the session’s initial resistance. The next resistance is seen at 1550, followed by the 1595-1600 region. The hyper bulls are unlikely to return unless Ethereum reclaims the 1600 region. Resurgence above 1600 would send the price back towards 1650-1680 levels.
On the Downside Ethereum has slipped to the lower supports. The candle, however, is still recovering and is reshaping 1480 as initial support. Below that is the major breakout-based support range of 1400-1380. This support is critical for Ethereum’s upcoming price action. Re-entering the lower range reopens the 1400-1240 levels.
