8-Hour Analysis:
Big Picture: Over the weekend, Ethereum completed the breakout target levels and then quickly entered a profit-taking round, virtually pulling a perfect re-test of the breakout levels. Moving forward, if Ethereum can hold the breakout range, it will most likely rebound in the next sessions; however, sellers will need to break the breakout support if they are to prolong the corrective drive down.
On the Upside yesterday, the price was restricted at 2240. This threshold prevented the price from rising any further. This is once again the principal resistance for the day. Once Ethereum breaks the 2240 barrier, it is expected to rise into the 2270 to 2280 range. Meanwhile, a much stronger advance can be expected once some strength over 2280 becomes apparent.
On the Downside Ethereum returned to the breakout supports, but the 8-hourly EMA-50 was able to negate out any candle closings below it. Therefore, the session will continue to be supported by EMA-50 at 2205 level. Below this, the next levels of support are at 2160 to 2150, followed by 2130, which is the day’s vital support.
