Technical outlook:
Ethereum climbed through $1,380-90 during the Asian session on Tuesday after reversing from $1,280-85 over the weekend. The crypto is seen to be trading close to $1,385 at this point in writing and is heading towards $1,450 and $1,550-70 in the near term. Ideally, prices should hold above the $1,270-80 interim support to keep the bullish structure intact.
Ethereum had earlier dropped from the $2,031 highs through $1,220, carving a meaningful downswing. Please note that the drop was in three waves and hence corrective in nature. Furthermore, prices found support through the past resistance-turned-support zone and the Fibonacci 0.618 retracement of the entire rally between $800 and $2,031.
A high probability remains for a push above $2,031 in the next several weeks. Initial resistance is seen through $1,790-1800 and a break higher will confirm a further upside. A minor rally is expected to reach up to the $1,550-80 zone, which is the Fibonacci 0.618 retracement of the recent downswing between $1,790 and $1,220.
Trading plan:
Potential rally through $1,790-1,800 against $900
Good luck!
Relevance up to 08:00 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.
