[ETH-USD] Descending Triangle Continued - $100 Target Potential
Updated
Ethereum is very clearly in the middle of a break-out of a large descending triangle bearish continuation pattern. This large descending triangle had been forming for the past two months, charted off of ETH's last low before this breakout that occurred on Sept 12th (this low was the result of a breakout on another descending triangle that started forming mid August 2018).
As you can see on my idea posted on November 7th, where ETH was nearly $215+, the descending triangle fully formed and subsequently broke out. I highly recommended entering a short position there, and it was very lucrative for anybody who did so.
Currently, as you can see in this idea's chart, we are on track to have another descending triangle fully formed. What is especially dangerous about this is that we are already in no man's land. Buying volume is very weak at every support point that has been crushed. Based on my retracements I am seeing a $100 price target if this breaks out of this triangle.
We have already blown through the points charted on my other ideas I had posted since this breakout.
Keeping in mind that we are already in a break-out, of a confirmation of a very long-term down-trend, I think we have even further to go before we find any bottom.
A short entry of $132+ should be a good position, if we bounce up (green arrow) before falling, a short taken at $133-$134 would be ideal.
Good luck mates, and happy trading!
As you can see on my idea posted on November 7th, where ETH was nearly $215+, the descending triangle fully formed and subsequently broke out. I highly recommended entering a short position there, and it was very lucrative for anybody who did so.
Currently, as you can see in this idea's chart, we are on track to have another descending triangle fully formed. What is especially dangerous about this is that we are already in no man's land. Buying volume is very weak at every support point that has been crushed. Based on my retracements I am seeing a $100 price target if this breaks out of this triangle.
We have already blown through the points charted on my other ideas I had posted since this breakout.
Keeping in mind that we are already in a break-out, of a confirmation of a very long-term down-trend, I think we have even further to go before we find any bottom.
A short entry of $132+ should be a good position, if we bounce up (green arrow) before falling, a short taken at $133-$134 would be ideal.
Good luck mates, and happy trading!
Trade active
Approaching this from even further out, the 1hr chart really illustrates that we are about to see a potential drop. We are approaching a serious MACD cross on the 1hr and all the other elements of the pattern are lining up for another price decline.
Trade active
I am still very confident in this pattern being confirmed in the next several hours. It has traded outside of my original chart and I am not yet seeing a reason for the original pattern to be completely invalidated. The current 1135/ETH range seems to be a very ideal entry point for this position and as such I am adding to the short position I took between $133-134/ETH.
Backing out even further on the charts, to the 4hr, it really seems like ETH has overextended itself like I was anticipating, albeit on a longer timeline than I had predicted, as you can see on this chart (an updated version of the one originally published):
The bulls are consistently providing less and less volume behind every upwards movement which is not a good sign for them.
I still believe a $100 ETH price target in the next 2 - 3 days is more than feasible, and the current $134-135 price range would be a solid entry.
Best of luck mates!
Note
My $134-135 suggested entry seems to be holding very well. I have published a seperate update to this idea.If you are interested in this trade I suggest you check that one out now instead:
![UPDATE: [ETHUSD] Descending Triangle $100 Target](https://s3.tradingview.com/o/olFFhzPB_mid.png)
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