Ethereum, Movements In Structure, These Levels Important Here!
Hi Traders Investors And Community, Welcome to this analysis where we are looking at Ethereum’s perspective, Ethereum has as suggested confirmed the preliminary resistance-cluster to the downside and generated the expected proper short-entry. Now as Ethereum continued it tested the important 10-EMA which is extremely essential in this whole structure because it is holding the bulls above and when it is broken to the downside a continuation can be expected, Ethereum has come to an important verge where it has to decide either it moves on with the previous pace within the channel where it still has the strong resistance to be tested and taken out before considering any bullishness or Ethereum firstly breaks out below the ascending-channel and firstly visits the lower boundary again, therefore I detected the important levels and likely outcomes we should consider with Ethereum upcoming times.
When looking at my chart you can watch there that Ethereum currently tests the middle-line of the ascending-channel and already formed a reactional pullback there where it has a high likelihood to test the 10-EMA marked in red in my chart again and when this is still strong enough we can expect another bounce to the upside from there overall this can lead to a consolidation phase as it is marked in my chart where Ethereum either gains the strength to form further up moves from here or falls below the , when Ethereum falls below the it will go on further to test the lower boundary and when this does not hold and Ethereum closes below it this will lead to a pull-back-extension within the pull-back-extension-zone marked in red in my chart, this whole mechanism will lead to a protracted wave-count and the wave D to form further.
Ethereum is in a situation where it has to show how it will react when testing the prior suggested levels and if there will come the pull-back-extension or not, it is very important to look on how Ethereum reacts in this level and see if there can be a stabilization or not before going into the proper direction, on the side when Ethereum manages to stabilize here it needs to take out the strong resistance layer above consisting of the horizontal resistance, the descending-trend-line, and the upper boundary before Ethereum does not take out these levels a continuation is not likely to be expected. The next time will be highly important for Ethereum and crucial for further outcomes, therefore it will be interesting to watch how Ethereum reacts within the current structure and develops the suggested next movements.
In this manner, thank you everybody for watching the analysis, feel free to support, have a good day, good trading and all the best!
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Information provided is only educational and should not be used to take action in the markets.