12-Hour Analysis:
Big Picture: After several rejections of 1680, Ethereum has finally eliminated this resistance level. Also, it is consolidating above this level, which is a promising sign for the time being. Having said that, price must commence the next leg up within the next few hours, or else this breakout may lose momentum and fail to reach the highs it should.
On the Upside bulls continued to aim for higher levels after breaking past the 1680 level and successfully reached the first objective of 1730. Profit-taking rapidly set in when the price tested this level, resulting in a re-test of the breakout. For the time being, Ethereum is effectively holding the breakout area. Buyers should now ideally make a move back into the 1730 zone, breaking which would push prices much higher into the 1780 to 1820 range. This is where decent intra-day profit-taking is recommended for the time being.
On the Downside this time, Ethereum successfully turned the 1650 level into support, which was critical in price breaking out of the 1680 level. Both of these previously strong resistance levels are now establishing themselves as strong supports. If Ethereum is able to convert these levels into firm supports, the upside is projected to expand much higher. If price goes again below these supports, a strong selling pressure cannot be ruled out, re-targeting 1610 to 1600 levels with space for additional decline.
