12-Hour Analysis:
Big Picture: Ethereum has once again failed to establish any foothold above the 1820 mark, resulting in profit-taking. The candlestick pattern that emerged was a bearish engulfing. This indicates that there are still active sellers in the 1780 to 1820 range levels, preventing Ethereum from moving higher. Going forward, with numerous supports now in play and the upward band functioning as a stiff resistance, price is expected to enter a volatile phase.
On the Upside Ethereum once again failed in surpassing 1820 resistance level. For the session primary resistance is set at 1780 once again followed by 1820 level. For the last few trading sessions 1820 has been effectively halting all upward surges from price. Ethereum needs to break 1820 and establish a stronghold above it to unlock the next targets, initially at 1910 and 1950.
On the Downside as price partially succeeded in converting 1780 into a support level it then went onto test the 1820 level once again. H however, the rejection off 1820 triggered a wave of selling that even overwhelmed the 1780 support levels and went on to test the deeper supports around 1730 to 1720 levels. This is still a strong support zone and has already given a number of good reactions. Ethereum is now maintaining these supports and leading another strong response from this supportive zone. Nevertheless, multiple tests in rapid sequence will weaken this threshold and it may be breached. The next supports below this region are the breakout based supports situated between 1680 to 1650 levels.
