ETH-“Wait and See Approach”

12-Hour Analysis:

Big Picture: The struggle for Ethereum around the congestion zone continues, as the price was rejected once again at this range. For over 45 trading sessions, this range has absolutely capped Ethereum’s upside potential. Despite several attempts, buyers were unable to establish a sustainable dominance above this region. With several rejections observed in this region, buyer exhaustion may be seen in the future, with buyers losing momentum and allowing short-term sellers to seize the chance.

On the Upside the congestion zone once again limited Ethereum’s expansion. Also, the precise rejection was caused by the descending trendline resistance at 1670. If buyers had broken over this barrier, fresh interest at these levels could have been generated. Nonetheless, the first resistance for the session remains heavy between 1650 and 1680 levels. Until and unless this range is breached completely, the upside potential will be limited and short-lived.

On the Downside lower trendline supports are becoming vulnerable as price continues to be rejected from the congestion zone above. This growing pressure may prompt another wave of selling, pushing prices back into lower support areas before the next sustainable trending move. The trendline-based support is now between 1610 and 1600. If this level is breached, the price will quickly fall towards the 1570 zone. Maintaining this horizontal range would be required for bulls to prevent another significant sell-off into 1540, followed by 1490 to 1470 ranges.