EthereumLong
ETH/USD mid-term bottom found, now on it's way up (temporarily)
Updated
Dear HodlyCrypoters,
Hopefully you guys bought in ETH/USD around 426-428 USD. At least I did since there were so many signals. The bottom was actualy a few dollars under it (421 USD) so I consider this a good call.
Now some insight on why this happened and what is going to happen:
As expected a huge bullish horde appeared when it got into this area. The RSI showed us a reliable bullish divergence which we correctly found and the volume flow was steady as well at the bottom. Then a huge spike up happened. The bottom actualy took place 1.236 (421 USD) of the last move of the 1 to the 2 from the 4 to the 5. From here we saw a huge spike up into the area 450-460 USD where we are currently trading at. This could be the first 123 or the 12345 of the 12 going up in a ABC (3 big waves) fashion or 12345 fashion (5 big waves). Time will tell this. It probably will be greater than the previous 3 to the 4 move of nearly 190 USD up which can bring us to 611 USD area, but this remains an uncertainty.
Be cautious because altough we managed to hold the red support line for ETH/USD, it does not guarantee in a longer term that we will hold it the third time we touch it. If it touches it a third time after we reach our targets it will most likely break it (up to 360 USD horizontaly from the previous bottom) and go down to the 220-236 USD area (algorithmic target... so be aware!)
The targets to sell are around 520 USD and 640 USD.
Stay safe and good luck everyone!
PS: This is for educational purposes only. I am not a financial advisor. The sharing of graphs is meant to share my ideas with the rest of the community and an indication on how I make my trades.
Hopefully you guys bought in ETH/USD around 426-428 USD. At least I did since there were so many signals. The bottom was actualy a few dollars under it (421 USD) so I consider this a good call.
Now some insight on why this happened and what is going to happen:
As expected a huge bullish horde appeared when it got into this area. The RSI showed us a reliable bullish divergence which we correctly found and the volume flow was steady as well at the bottom. Then a huge spike up happened. The bottom actualy took place 1.236 (421 USD) of the last move of the 1 to the 2 from the 4 to the 5. From here we saw a huge spike up into the area 450-460 USD where we are currently trading at. This could be the first 123 or the 12345 of the 12 going up in a ABC (3 big waves) fashion or 12345 fashion (5 big waves). Time will tell this. It probably will be greater than the previous 3 to the 4 move of nearly 190 USD up which can bring us to 611 USD area, but this remains an uncertainty.
Be cautious because altough we managed to hold the red support line for ETH/USD, it does not guarantee in a longer term that we will hold it the third time we touch it. If it touches it a third time after we reach our targets it will most likely break it (up to 360 USD horizontaly from the previous bottom) and go down to the 220-236 USD area (algorithmic target... so be aware!)
The targets to sell are around 520 USD and 640 USD.
Stay safe and good luck everyone!
PS: This is for educational purposes only. I am not a financial advisor. The sharing of graphs is meant to share my ideas with the rest of the community and an indication on how I make my trades.
Note
Second bottoming = confirming, then up! Can be a few dollars under it or more but still valid!Note
Second bottoming happened at around 406 dollars, time to take profitsTrade closed manually
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