4-Hour Analysis:
Big Picture: Ethereum got extremely close to our weekly support levels before recovering sharply. The weekend drop indicates a potential deviation as price returns back into the range. Furthermore, the weekend dump has printed a significant bullish divergence on practically all time frames below daily. This indicates that the short-term trend may favor the bulls in the coming days. To take advantage of the short-term circumstances, bulls must first hold above 1130, and then above 1280 to start a much stronger price recovery.
On the Upside 1130-1135 remains a significant resistance level for Eth. This level now has a powerful horizontal level acting as a significant resistance. Currently price is attempting a reclaim of the level. The next level of resistance is indicated at 1175, followed by a supply zone around 1270-1280. Ethereum would need to maintain a foothold above this supply level in order to hit the upper resistance zone. The second wave of resistance is evident between 1332 and 1423. For Eth to achieve any more upside, these upcoming hurdles must be overcome.
On the Downside the 1075 level is once again acting as a support. Maintaining this support is critical for Eth to move higher. If this level is breached, Eth is expected to be exposed again around the 1015-1000 level, perhaps could also re-visit the previous lows.
