The case for ETH making a bullish break from long term downtrend
For the first time since mid November, ETH closed a daily candle above the 20 EMA on 12/29/19. The price has managed to hold right around (and just above) the ~$134 mark, which had previously served as resistance since 12/17. At the same time, a long term downward trendline (yellow line) that can be traced back nearly 2 years (with 8 touches since February of 2018 on the daily chart) appears to be clamping down on the price with a junction between it and the current $134 support mark imminent in the next couple of days. The last time the price met this trendline was in November, when the price rejected off of it 5 times between 11/13 and 11/18, finally dropping below the 20 EMA on the 18th and descending into the 130's after. At that time, MACD had seen a bearish cross on the 14th--one of several bearish indicators. Currently, MACD is bullish and the ~$134 support is holding. Critical juncture between this support and downward trendline is set for 12/31/19. A breakout to the upside could trigger the bull run we've been waiting for. If it rejects off the yellow trendline, it could see strong support on the green trendline which can be traced back to February of 2017. The two will converge around 1/9/19, another critical point in the price action.
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