Bottom line: Ethereum long term structure continues to remain bullish against 89.50 lows since March 2020. Over the short term though, the crypto has managed to carve a meaningful top around 488.00 levels as bears might remain poised to drop towards 240.00/250.00 levels.

 Fundamental Outlook:

Ethereum has been trading in a contracting range between 320.00 and 400.00 since past few sessions. The crypto had earlier peaked through 488.00 before facing selling pressure. The safe haven US Dollar has broadly gained since early September as risk assets (Gold, Oil) along with global equities dropped lower. The crypto might come under renewed selling pressure over the next several weeks, if risk aversions continues.

Technical Analysis:

Ethereum bears continue to remain in control as the crypto faces resistance just below 360.00 mark. It might be carving a contracting triangle since dropping towards 310.00 levels and might soon break lower towards 240.00/250.00 mark, in the next several trading sessions.

Ethereum had dropped through 89.50 lows in March 2020, before reversing sharply. The crypto had managed to produce a religious rally between 89.50 through 488.00 levels, easily taking out past resistance around 300.00 mark.

The above rally might have taken shape of an impulse wave, which should be ideally followed by a corrective wave. The drop from 488.00 through 310.00 might be seen as the beginning of the proposed corrective wave lower towards 240.00/250.00 levels respectively.

Also note that fibonacci 0.618 retracement of the entire rally between 89.50 and 488.00 is seen passing through 242.00 mark. High probability remains for a bullish turn if prices manage to push lower towards 240.00/250.00 zone.

Most traders might be preparing to hold short positions taken earlier and also willing to add around 350.00/355.00 levels, with protective stops above 488.00 and projected target towards 240.00 mark respectively. Resistance zone is also seen around 440.00/450.00 levels.

Prepared by

Harsh Japee, Technical Analyst.

Ethereum Chart

This market commentary and analysis has been prepared for AT Global Markets UK Ltd (ATFX UK) by a third party for general information purposes only. Any view expressed does not constitute a personal recommendation or solicitation to buy or sell as it does not take into account your personal circumstances or objectives, and should therefore not be interpreted as financial, investment or other advice, or relied upon as such. You should therefore seek independent advice before making any investment decisions. This information has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. We aim to establish and maintain and operate effective organizational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. The market data is derived from independent sources believed to be reliable, however we make no representation or warranty of its accuracy or completeness, and accept no responsibility for any consequence of its use by recipients. Reproduction of this information, in whole or in part, is not permitted.

Disclaimer: This article is reproduced from the Internet. If there is any infringement, please contact us to delete it immediately. In addition: This article only represents the personal opinion of the author and has nothing to do with Mato Finance The originality and the text and content stated in this article have not been confirmed by this site. The authenticity, completeness and timeliness of this article and all or part of the content and text are not guaranteed or promised. Please refer to it for reference only Verify the content yourself.

Copyright belongs to the author.
For commercial reprints, please contact the author for authorization. For non-commercial reprints, please indicate the source.

MyFxtops迈投(www.myfxtops.com)-靠谱的外汇跟单社区，免费跟随高手做交易！

免责声明：本文系转载自网络，如有侵犯，请联系我们立即删除，另：本文仅代表作者个人观点，与迈投财经无关。其原创性以及文中陈述文字和内容未经本站证实，对本文以及其中全部或者部分内容、文字的真实性、完整性、及时性本站不作任何保证或承诺，请读者仅作参考，并请自行核实相关内容。

著作权归作者所有。
商业转载请联系作者获得授权，非商业转载请注明出处。