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Ethereum bulls (ETHUSD) not backing down

The purpose of this analysis is to provide a quick review that captures over 6 months of price action in Ethereum starting from the beginning of the collapse in price in January till present date. The following numbers indicated on the chart are discussed below:

Ethereum reddit

(1) The major bearish trendline in Ethereum (ETHUSD) after a price close of ~$1379.90 on January 13, 2018. Price closing above ~$644.43 is the most conservative entry point into a long (buy) position identified in this analysis.

(2) A price close above the green bearish trendline is less conservative than in (1) above. This calls for entry into a bullish position once price breaks the bearish trendline at ~$471.55. Trendlines (2) starting from $807.65 on May 6, 2018 is used in this analysis as part of the process of monitoring the evolution of the bearish trend in Ethereum.

(3) This range lies between ~$407.64 and ~$349.18. This range = support level 1 and is expected to provide support for Ethereum (ETHUSD).

(4) Price breaking through support level 1 will be expected to find support between ~$289.60 and ~$229.59 which marks the boundaries for support level 2.

(5) The relative strength index (RSI) is shown here with a negative slope. A break above the falling slope and also price action breaking above the green bearish trendline will provide a great confirmation signal to buy Ethereum. Also of important notice is that the current pivot in Ethereum with the previous low does form a bullish divergence with the RSI. This implies that the bears are running out of momentum and therefore a bullish move is possible.

Based on the principles of prices remaining range bound, Ethereum price prediction based on a breakout in price to the upside would be expected to at least return back to the start of the bearish trendline in green (2) which is ~$807.65.

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