ETH WEEKLY STRONG SELL DANGER!
The strong buying zone we expected for ETH did not work as anticipated and was quickly broken. Instead of making indicator-based comments at the moment, we will try to make a comment based on ETH experiences. We have now returned to a news-driven market and it seems like we are back in a consolidation phase similar to March and April. Let's begin:
The potential buying zone for ETH is located around 1618 and 1610 areas, as it previously found support there during a strong decline and made a move towards 2100. The biggest indicator of its potential arrival is the continued negative strengthening of the 4-hour MACD. Although the RSI has entered the buying zone, it failed to turn upward, so it would be more accurate to make comments based on MACD for now.
The real concern here is that the downward EMA averages continue to be broken on the weekly chart, with the sole target being the EMA 200 area at 1557. While this is definitely a potential buying zone, it remains uncertain due to the strong sell signal on the weekly chart, and even the target of the lower Bollinger Band at 1484 could come into play again. These averages and the Bollinger Band have significant importance on the weekly chart because ETH, after a long time, appears to have ignited a strong sell signal like BTC, as the week is almost over. If we see a close around 1800 before the end of the week, this could change, but as you also guessed, this possibility is unlikely.
IMPORTANT! A trend formed from the 1108 level on a daily basis has been broken and stands as a strong indication of a significant decline. Therefore, it is worth repeating this again. The 1618-1610 range could be considered a scalp trade, given the strong indications of a significant decline. Long positions currently appear somewhat risky. I reiterate the potential target as 1557.
The strong sell signal on the weekly chart is significant for both BTC and ETH. These signals put all long positions at risk. I also recommend using stop orders for your spot purchases. There's no need to prolong the analysis. In short, you can continue with your short positions by placing stops nearby, and for long positions, it would be wise to closely monitor them and use the saying "take profit when it's good."
About 1.5 weeks ago, I mentioned the potential for a strong sell intersection on the weekly chart for BTC, and it happened. Now, 1 week later, we have the same signal and danger for ETH.
If you liked my analysis, please share your thoughts in the comments. Wishing everyone profitable trades.
The potential buying zone for ETH is located around 1618 and 1610 areas, as it previously found support there during a strong decline and made a move towards 2100. The biggest indicator of its potential arrival is the continued negative strengthening of the 4-hour MACD. Although the RSI has entered the buying zone, it failed to turn upward, so it would be more accurate to make comments based on MACD for now.
The real concern here is that the downward EMA averages continue to be broken on the weekly chart, with the sole target being the EMA 200 area at 1557. While this is definitely a potential buying zone, it remains uncertain due to the strong sell signal on the weekly chart, and even the target of the lower Bollinger Band at 1484 could come into play again. These averages and the Bollinger Band have significant importance on the weekly chart because ETH, after a long time, appears to have ignited a strong sell signal like BTC, as the week is almost over. If we see a close around 1800 before the end of the week, this could change, but as you also guessed, this possibility is unlikely.
IMPORTANT! A trend formed from the 1108 level on a daily basis has been broken and stands as a strong indication of a significant decline. Therefore, it is worth repeating this again. The 1618-1610 range could be considered a scalp trade, given the strong indications of a significant decline. Long positions currently appear somewhat risky. I reiterate the potential target as 1557.
The strong sell signal on the weekly chart is significant for both BTC and ETH. These signals put all long positions at risk. I also recommend using stop orders for your spot purchases. There's no need to prolong the analysis. In short, you can continue with your short positions by placing stops nearby, and for long positions, it would be wise to closely monitor them and use the saying "take profit when it's good."
About 1.5 weeks ago, I mentioned the potential for a strong sell intersection on the weekly chart for BTC, and it happened. Now, 1 week later, we have the same signal and danger for ETH.
If you liked my analysis, please share your thoughts in the comments. Wishing everyone profitable trades.
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