Ethereum: Bearish Divergence As Trend Reversal Signal

About the possible market movements based on the daily timeframe, I wrote in the previous post. You can read it in the related ideas. Today, the lower timeframe provides us a trend reversal signal based on a bearish divergence. This signal also confirms a short term retracement from the daily chart.

The price bounced from 224.00 level. RSI confirmed the price reversal. MACD histogram and lines support the further downward movement. DMI is bullish and shows trend market conditions. ADX line falls, and it tells us that buyers are not so strong now. This signal allows us to think about the further downward movement, but only if the price can break the local uptrend line.

If the market moves lower, the targets for sellers will be the support zones at 200.00 level and the main uptrend line from the daily timeframe. The price action in these zones will be able to provide us buy opportunities based on reversal signals.

And what do you think about Ethereum in the medium term? Share your ideas in comments. Also, I will be grateful if you support my work in TradingView by your likes. Your feedback - it is great motivation to write more about trading and markets. Thank you for your interest!