ETHUSD has actually formed a bullish divergence on the weekly chart (9th - 15th March - RSI 39.41) with a lower low in price and higher low on the RSI. The previous weekly higher low in price occurred on 16th - 22nd December (RSI 37.2). Price has since started uptrending.
For ETHUSD we are currently also near the bottom of the long-term symmetrical triangle (scroll out chart). The top downtrending line starts from an estimated high price of around 450-480 (excluding the ICO bubble price) which can be estimated by drawing the line with the next 2 tops of 360+ and 289+.
Just wanted to share an observation.
Take note that the same bullish divergence was not observed on BTCUSD chart. However, as BTCUSD and ETHUSD price is more or less correlated, ETHUSD can also pull BTCUSD price with it. BTCUSD and ETHUSD are both in long-term bullish symmetrical triangles.
I am currently slightly bullish on BTCUSD as shown in previous chart which shows breakout trade possibility with 2 targets. Trading on breakouts with test of resistance turned support on confirmation candle(s) is a less risky long trade. Only trade what you can afford to lose. Nothing is 100% in life, ever. If possible never trade on weekends, the manipulators have their way on weekends due to low volumes.
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Possible Bull Flag Pattern forming on 4hrly
BTCUSD is also showing bull flag pattern formation on the 4hrly
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Bullish divergence and bull flag pattern on ETHUSD 4hrly chart
BTCUSD also showing both patterns
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This is also the 3rd time that a similar bull flag pattern has formed for BTCUSD. The previous two times this pattern had a bullish breakout. Weekend is around the corner so trade with care and avoid trading during the weekends where the manipulators find it easy to move price to their advantage with low volumes.
few things, bullish divergence at is core, measures market greed and fear so all this chart shows me is 1.) the market is in a greedy state which technically means you should be selling RN if ur short (if ur looking at the 1week ur prob short). 2.) There is still (very much) a huge downtrend with an RSI at or below 50 most of the time (indicating a bear market). 3.)The downward channel has allot more to gain before its "broken" & the btc chart didn't match up.
in short with all that volume, rsi below 50 and a huge death cross on the yearly. I see no reason to put any money into btc or ether (Right now) when a huge dip is due at some point. This is just the lil pump that happens every single time there's a big dump from a nice bull run.
05mar2018-05may2018 cross fake run up
17aug2019-21sep2019 cross fake run up
18mar2020-soon? cross fake run up
mdyassink
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@dead4586, you should probably do some reading on bullish divergences and even hidden bullish divergences including why and how these happen. Usually its cause of exhaustion of sellers which signals a possibility of trend reversals. Plus, ETH is correlated to BTCUSD and BTCUSD as indicated has other bullish patterns that could play out. Furthermore, it is advised that traders trade on breakouts with confirmation candles(s) especially when previous resistance turns to support.
Noted on your bearish view and saw your one chart that shows your bearish view. Good luck!
dead4586
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@mdyassink, yes I am aware that SOMETIMES they can indicate the end of a down trend..... Im simply saying that the current indicators are no where near enough for me to put any sum toward either pair. but again while you are technically correct in defining bullish divergence, AT ITS CORE, its measures momentum (hence fear and greed). This one in particular would suggest market greed.
in other words the sellers are tired of selling for now but why would they keep selling if the price is going up, better to wait and sell later. imo bull trap.
I suppose we will see.
mdyassink
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@dead4586, disagree on bull trap... but yes you are right... we will see... neither of us has crystal balls... which is why i usually prefer to trade breakouts with confirmation candles for a less risky trade... in this case a less risky breakout trade long after resistance turns support with confirmation candle possibly in the region 7150 - 7250...
in short with all that volume, rsi below 50 and a huge death cross on the yearly. I see no reason to put any money into btc or ether (Right now) when a huge dip is due at some point. This is just the lil pump that happens every single time there's a big dump from a nice bull run.
05mar2018-05may2018 cross fake run up
17aug2019-21sep2019 cross fake run up
18mar2020-soon? cross fake run up