Hello Dear friends
We are currently above the midline of the long-term descending channel and a positive RSI divergence has been issued on the daily time frame.
In the lower time frames, the support ranges have been maintained, it seems that the possibility of forming an upward trend up to the blue range ($0.4854) is high.
But it should be kept in mind that if...
After completing 5 waves of its own (completing the main wave 1), it entered wave 2 (correcting three waves as a channel)
After the failure of the channel, wave 2 is confirmed and enters the main wave 3, which increases the price and only the previous ceiling.
We have the end of wave 2 positive divergence.
If ETH reaches 3920 which is the Ichi 4h resistance ( ceiling of Kumo cloud ) and it will drop to kiJensen and also is its short-term channel resistance.
So the probability of a pullback to midline which also is its kijensen as said before is high with a significant R/R.
entry: 3900-3920
take profit: 3780-3800
stop-loss: 3950
R/R: 4
wish you the best of lucks...
The price seems to be fluctuating in the channel, but the daily downtrend line is in the direction of the channel ceiling. We are expected to climb to the trend line and then correct to the bottom of the canal
