We can see that ETH is gunning for $200. It’s more of a matter of when rather than if, but there is still profitable opportunities outside of that range. I have suggested one here.
It’s likely that the neckline of the will prove as resistance for the time being. We can see that as Ethereum has been denied its breakthrough at 7pm-8pm. Therefore, we can gather that it’ll act as a line to cross in the very close future.
I’ve used a ghost feed to very roughly show the important levels that are likely to occur in the next couple of days. A fall to the slowly rising but stable 200MA is what I’m looking at right now. It’s unlikely that ETH will rebound off of its 50MA, but I’ll cover that in a minute.
Once we’ve grazed the 200MA, ETH should have a sharp rebound up to the neckline again. This should occur throughout the day. A rejection is likely, as the strength of a rally has to be exceedingly strong to pierce a formation as apparent as a . Once ETH proceeds to get rejected, it will fall to its lower range of $182 later in the day. This will provide temporary support and enough momentum to push ETH past its aforementioned neckline and rally to $200. This is the thesis I see more likely.
I did mention earlier that I would highlight the 50MA. There is POTENTIAL, but not a likelihood, that ETH could rebound off of the 50MA immediately and rally through the neckline again. It’s possible as Ethereum and the 50MA act well together - more like a continuous support line. We’ve seen this trend over the past few days. However, this comes at a time in which trading is low due to after-dark hours, and as I mentioned before, piercing the neckline requires a lot of strength.
Let’s see how this one plays out.