Relevance up to 12:00 UTC+2 Company does not offer investment advice and the analysis performed does not guarantee results. The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
Technical outlook:
Ethereum pushed close to $1,200 on Tuesday before finding resistance as bears came back in control strong. The crypto remained shy of the projected intraday target of $1,240-50 and closed the intraday low, producing a shooting star candlestick pattern. It is seen to be trading close to $1,085 at this point in writing and is expected to drop to around $995 in the near term.
Ethereum has now carved a meaningful downswing between $4,850 and $880 as seen on the daily chart. Further, prices have resumed unfolding a corrective rally towards $1,920, $2,400 and up to $3,350 going forward. If the above holds well, bulls will remain in control and print a series of higher highs and higher lows against $880.
Ethereum has further carved a lower degree upswing between $880 and $1,195 in the past three trading sessions. Prices are expected to drop through the $995-1,000 zone, which is the Fibonacci 0.618 retracement of the above rally (not projected today). Traders might be preparing to initiate fresh long positions from around $1,000.
Trading plan:
Potential short-term drop through $995, then rally towards $1,920 and $2,400 at least against $880
Good luck!
