3-Day Analysis:
Big Picture: Ethereum is still struggling to gain momentum. Sellers have had the upper hand since deviating beyond the 2000 barrier. Furthermore, an evening star on a 3-day time period is being monitored, and that too at a major range level, indicating that pressure on Ethereum is increasing. To counteract this unfavorable outlook, Ethereum must rebound above the 2150 level; else, a retest of lower supports in the upcoming sessions remains a possibility.
On the Upside for over a week, Ethereum has experienced significant resistance from the 1920 to 1940 levels. Both of these levels have been strongly resisting any upward push. Ethereum’s upside will be limited in the days to come until these intra-day levels are broken. Surpassing 1940 would allow for a re-test higher, back into the 1970-2000 zone, where another wave of profit-taking is expected. Furthermore, fresh sellers may enter the market at a retest of higher levels.
On the Downside Ethereum has broken through the support levels of 1900 and 1880, resulting in another downward push. Price is now trading in the 1840-1820 support range. This range is now holding pretty well and has numerous more support levels ranging from 1820 to 1780. This zone is critical for bulls to cling onto in order to maintain Ethereum’s positive stance on higher time frames. Ethereum creating a new range between 2000 and 1800 levels cannot be ruled out for the time being.
