The market has been bearish for Ethereum for the past two weeks but the prices have jumped and currently trading around $1,350. The bears can be seen attempting to drive the price below the level of $1362.20, but the bulls are offering a strong base to prevent a massive drop.
The current volatility of the ETH price is anticipated to increase as the bears denied the token’s entry into the $1,400 price range multiple times. The 38.2% retracement level is where the bearish rejection may be seen on the Fibonacci retracement tool.
The ETH price is attempting to rise high to regain these levels but if fails, may again fall back into a deep bearish well, forming a falling wedge.
The Fibonacci and Auction Market theories predict that a sweep low event with a target of the September low at $1,100 will occur soon. The shorter bearish does not exclude the possibility of a bounce in the direction of higher FIB goals. A 21-day moving average has been set close to an untagged level at $1,500 since the most recent drop.
The summer swing bottom at $1,006 must be used as a strong invalidation point for a bullish trend. Breaching this level will nullify the entire notion of an upswing. A rebound towards the swing low of $880 in the month of June is anticipated to be the next negative strike zone, resulting in a 32% decline from the present price of Ethereum.
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