ETH/USD Analysis - Support Around $420

coinsholar (31)in #steempress • 6 years ago (edited)

Weekly

Let's start off with the weekly chart since I forgot to post one on Monday (oops!). Ethereum seems to have found a support on the $420 USD area for now. I say for now because I do not believe we may see a bit more downward movement to a second hit onto the $400 - $360 USD zone which would not be ideal, but still healthy.

We want to maintain a higher low than the previous local low of $360. A bounce off the top of the green zone at $400 would be nice.

Oversold Stoch is in a good place to reverse, but not indicative that it will be soon. Ethereum has yet to fall into oversold RSI on the weekly since its major bull run in Q4 2017.

Daily

On the daily, we saw a rejection from the Tenkan a few days ago with some sizable red candles to its current resting spot around $420 USD. Stoch has been reset into oversold and we would need to take back the Tenkan if we are to gain any ground. As mentioned, a consolidation within the green zone is not the worst scenario, but it would be better if we bounce off $400 if we are to break down further. We are still far away from any cloud action.

4 Hour

Next level of zoom we see a few candles of consolidation around the support of $420. We would need to make a higher high here above $430 to have any hints of bullishness. RSI is poking out of oversold conditions with Stoch on the rise. I can see this going sideways for a few more candles before a retaliation from the bulls.