Eth rejected by the downtrend resistance once again
The crossing bull and bear trendlines have been very useful at explaining things so far.
Since the drop from ATH the bottom downtrend line (thin red line) acts as a soft resistance and the upper one (bold red line) acts as a hard one.
Everytime the price reaches the thin red line it's hammered back down or it manages to break it and goes up, only to be rejected by the bold red one.
What we've been seeing is a repetition of that pattern.
Now that the price is rejected by the hard resistance, we can expect a long downtrend from here.
Another downtrend line I noticed is the one where the price bounces from these drops (yellow dotted line)
So if the drop follows the pace of the previous one, I think our target is around 0.013 this time.
However the longer it hangs around 0.02, the lower that target should be. (because of the slope of the line)
Since the drop from ATH the bottom downtrend line (thin red line) acts as a soft resistance and the upper one (bold red line) acts as a hard one.
Everytime the price reaches the thin red line it's hammered back down or it manages to break it and goes up, only to be rejected by the bold red one.
What we've been seeing is a repetition of that pattern.
Now that the price is rejected by the hard resistance, we can expect a long downtrend from here.
Another downtrend line I noticed is the one where the price bounces from these drops (yellow dotted line)
So if the drop follows the pace of the previous one, I think our target is around 0.013 this time.
However the longer it hangs around 0.02, the lower that target should be. (because of the slope of the line)
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.