ETH/USD is looking very promising. The golden cross of the 50MA moving above the 200MA is a bullish
sign. The last candle was bullish
. MACD: bullish
is on the high side, however in the past month that hasn’t scared off the bulls from pushing it well over 70, even peaking at 83. There’s strong support with the 50MA, 200MA and 2 Fibs. Speaking of Fibs, yellow is drawn from the peak that best fits this run and the red is a retracement from the ATH
. Interestingly, they both indicate resistance around $890. If that is in fact the case, a pullback there would set up perfectly for a cup and handle
formation heading into the summer months which has traditionally been favorable for bullish
movement. A broadening wedge
(orange) in a bullish
environment indicates tremendous growth potential, especially when the baseline has four anchors (orange circles) means the upper limit of the wedge
is more likely to be tested. In fact, the broadening wedge
has so much opportunity, I had to bisect it through the middle with the dotted orange line which happened to serve as the upper trend line
for the last leg up. When all these different pieces come together and all tell the same story, I remind myself to trade what I see.
P.S. on shorter timeframes (60, 120) a bull flag
is forming, another positive sign for ETH to move higher.