4-Hour Analysis:
Big Picture: Ethereum remains firmly in the hands of the sellers. Over the weekend, price fell below the 1700 range low supports, triggering another round of panic selling that exposed Ethereum towards the 1520 level. Going forward, the short-term trend is beginning to favor sellers, who are looking for a re-test of the breakout zone, which also remains an unfilled CME Gap. Overall, a sell of strength posture is observed; however, to offset this, Ethereum must maintain a stronghold over 1840.
On the Upside Multiple resistances can be detected again in the 1680-1700 area. This was a critical support level that is now expected to serve as strong resistance. Ethereum need decent strength over 1700 to drive itself further towards higher levels, which come in at 1760 followed by 1800, and 1840.
On the Downside Ethereum has recently smashed a couple key supports. It is now receiving considerable support from the 1550-1520 area. With oversold conditions, there is still a potential that price may attempt to correct itself before any more slippage. However, if these supports are lost, the lower support levels at 1425 and 1365 would become exposed. When tested, expect strong rounds of short-coverings.
