Ethereum - New lows to be formed in ETHUSD
Updated
Yesterday, we warned that the correction in Ethereum was nearing its end. A few hours later, ETHUSD broke down and fell approximately 10%. We continue to be bearish on ETHUSD, and our short-term price target stays at 1800 USD. However, we would like to set also a second price target of 1700 USD.
Technical analysis - daily time frame
RSI and Stochastic turned back to bearish from bullish. MACD is due to follow. DM+ and DM- remain bearish. The ADX remains strong. Overall, the daily time frame is very bearish for ETHUSD.
Illustration 1.01
Here is what we hinted at yesterday. The price retracement towards its 20-day SMA acted as a correction for Ethereum.
Technical analysis - weekly time frame
RSI, MACD, Stochastic, DM+, and DM- are all bearish. The ADX increases. Overall, the weekly time frame is bearish.
Please feel free to express your ideas and thoughts in the comment section.
DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not serve as a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.
Technical analysis - daily time frame
RSI and Stochastic turned back to bearish from bullish. MACD is due to follow. DM+ and DM- remain bearish. The ADX remains strong. Overall, the daily time frame is very bearish for ETHUSD.
Illustration 1.01
Here is what we hinted at yesterday. The price retracement towards its 20-day SMA acted as a correction for Ethereum.
Technical analysis - weekly time frame
RSI, MACD, Stochastic, DM+, and DM- are all bearish. The ADX increases. Overall, the weekly time frame is bearish.
Please feel free to express your ideas and thoughts in the comment section.
DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not serve as a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.
Trade closed: target reached
Our price target of 1800 USD was reached.Trade closed: stop reached
ETHUSD reached 1702 USD, shy of 2 USD of our price target. After that, it reversed to the upside. We abandon our price target of 1700 USD.
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