This downtrend is also the reason that I'm careful trading this set up but technically spoken, it looks like a nice short term relief rally. If we ever reach C, it has to be seen if we get a continuation of the bigger downtrend or this turns into a 1-5 cycle.
I'm seeing more or less the same for BTC .... 1 more leg up in its bearflag before falling down again. Off course, when BTC starts falling earlier, this set up is invalidated and ETH will follow BTC .
But.... Often I see cleaner patterns in ETH as BTC and maybe this set up is also showing what BTC might do.
To the charts: On 240 you can see the I mentioned., if the set up plays out, it's a bearflag in the downtrend.
Reason for posting this tricky set up it the patterns I see on the 1 hr chart.
It did a 5 legs up cycle, followed by an correction and yesterdays bounce could be seen as an impulsive move, starting the next 5 legs cycle.
After the impulsive move we got a correction which looks to be finished and we might start 3rd leg from here (which is also the 3rd leg in the bigger 1-5).
Keep an eye on and on lower timeframe to detect possible invalidaton of this set up.
Once again: this is a tricky set up, a bounce in a downtrend but hey this is crypto and that might even go much higher. I have seen crazier things in the past years. BITFINEX:ETHUSD
It broke out of pennant, expecting more upside after the correction.
Both in USD as in BTC value
Now, I'm going back to watch my green DASH rocket ship continue to sky higher. Bon voyage.