Tea Time with ETH
Updated
From the ETH 1-Day chart, it looks like we're forming a nice rounded Cup and Handle formation. Things may be looking bearish right now, but these are historically the best times to get into long positions.
Measuring from the bottom of the cup to the breakout, we've seen a ~133% move to the upside in the last couple of months. That puts the price target for this formation somewhere between 6-7k USDT.
The on-chain metrics for ETH are looking super bullish, however, I'd advise caution in the immediate short-term as in the descending channel, there could still be some room for movement to the downside (~2800 - 2900).
When trading ETH, it's also best to keep an eye on the BTC charts as well, since the two are quite closely correlated. BTC is currently testing some important supports and until we hold the 42K - 43k price, things can keep looking rocky in the short term.
Let me know what you think!
Measuring from the bottom of the cup to the breakout, we've seen a ~133% move to the upside in the last couple of months. That puts the price target for this formation somewhere between 6-7k USDT.
The on-chain metrics for ETH are looking super bullish, however, I'd advise caution in the immediate short-term as in the descending channel, there could still be some room for movement to the downside (~2800 - 2900).
When trading ETH, it's also best to keep an eye on the BTC charts as well, since the two are quite closely correlated. BTC is currently testing some important supports and until we hold the 42K - 43k price, things can keep looking rocky in the short term.
Let me know what you think!
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We saw a perfect bounce off the descending channel at exactly around 2800 but we're not out of the woods yet. There could be another leg down before we consolidate sideways out of the channel and we're off to the races.Remember that this is a medium-term pattern so manage your risks and positions accordingly. To be cautious, plan your entry only after ETH confirms the upper trendline of the handle as support.
I myself have already entered a Long position at around 2900 and will continue to add to the position. ETH is and will continue holding up relatively well against BTC contrary to other altcoins, and I'm viewing any dips as a massive buying opportunity.
Stay strong and trade safe, folks!
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All eyes on the BTC weekly candle close for now. Just a few hours left. A reminder that we're looking for a close above the 43k mark which I believe is in the cards (If we close below this level, no need to panic - we have closed below support before and headed back up the following week).However, once the candle closes and we hold support, don't expect an immediate rally to the upside. We might have another week or two of testing this crucial support level before we can start looking forward again.
In the coming week, we will dip below this support level again (and possibly touch 37-38K) and every dip will be a golden opportunity to accumulate long positions.
For ETH the implications are that we can see wicks close to the 2.5K level. I will be adding slowly to my long position throughout the next couple of weeks.
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Hope everyone was able to accumulate at the suggested levels. ETH has convincincingly broken out of the descending channel. Now for the next leg, I'd suggest everyone buckle up because we're in for one hell of a ride. Hold on for dear life and enjoy the show my firends!
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