ETH/USD trade update
Updated
ETH/USD trade update:
For those with little time just go down to the In conclusion part and you have a short and fast overview.
So when we look at the past we can see that the price did break all the support zones that we have on the chart.
What I think that will happen now is that the price is going to drop to the next support level that is drawn up on the chart.
That support zone was good respected in the past as we can see.
All this is just on the technical side of the analysis. When we look at the fundamental side we can see a little different view. We do still have the NFT space that is going good and all the transactions that they are doing is happening with Ethereum. So those should bring in some good volume that is traded which normally is positive for Ethereum.
When we have a look at the volume that they are trading it is not special for Ethereum. It is just about 36.414K volume that is traded today.
For now I would just wait and see how it will react when we go to the support zone that is drawn up on the chart. Because for me the price is now just in no mans-land because it is just between support and resistance zone so it would be stupid to buy it here.
So either we are going to see a further drop to the support zone that is drawn up on the chart. The other thing that could happen is that we get a reversal here and go to test the orange zone that we see in the chart. This was support zone in the past but also resistance so what could happen now is that we get to see the same thing as we did in the past where we first got a few tests of that level before breaking.
I will update this idea when it is needed if we get a hit of any of the zones. If we do not get that I will update it on Friday.
Just to be clear a zone is only broken for me when we get a candle close below or above that zone.
In conclusion:
For me it is stupid to buy now. I would wait for a test of either the green zone or of the orange zone before I do anything.
If you have any questions feel free to send me a message.
If you like the idea do not forget to give it a like and feel free so share your idea on this in the comments.
Everything you see on my profile is just for educational purposes only.
For those with little time just go down to the In conclusion part and you have a short and fast overview.
So when we look at the past we can see that the price did break all the support zones that we have on the chart.
What I think that will happen now is that the price is going to drop to the next support level that is drawn up on the chart.
That support zone was good respected in the past as we can see.
All this is just on the technical side of the analysis. When we look at the fundamental side we can see a little different view. We do still have the NFT space that is going good and all the transactions that they are doing is happening with Ethereum. So those should bring in some good volume that is traded which normally is positive for Ethereum.
When we have a look at the volume that they are trading it is not special for Ethereum. It is just about 36.414K volume that is traded today.
For now I would just wait and see how it will react when we go to the support zone that is drawn up on the chart. Because for me the price is now just in no mans-land because it is just between support and resistance zone so it would be stupid to buy it here.
So either we are going to see a further drop to the support zone that is drawn up on the chart. The other thing that could happen is that we get a reversal here and go to test the orange zone that we see in the chart. This was support zone in the past but also resistance so what could happen now is that we get to see the same thing as we did in the past where we first got a few tests of that level before breaking.
I will update this idea when it is needed if we get a hit of any of the zones. If we do not get that I will update it on Friday.
Just to be clear a zone is only broken for me when we get a candle close below or above that zone.
In conclusion:
For me it is stupid to buy now. I would wait for a test of either the green zone or of the orange zone before I do anything.
If you have any questions feel free to send me a message.
If you like the idea do not forget to give it a like and feel free so share your idea on this in the comments.
Everything you see on my profile is just for educational purposes only.
Note
Okay so we can see that the price is now going above the orange zone. What I will be looking for now is first we need to see how it closes. If we close above the orange zone and we can stay above over the weekend than I will be waiting for a retest of that zone and then I could increase my position I am holding in ETH.
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