Ethereum, S/R-Bounce Remaining, Further Continuation Possible!

Hello Traders Investors And Community, welcome to this update-analysis of ethereum daily timeframe perspective, the recent events, the current formational structure, what we can expect from this pair the next times and how to handle upcoming situations in the appropriate manner to do not fall apart of the smart-money operators seen these days. As mentioned in previous analysis Ethereum approach highly overbought areas and additionally resistance-levels in the range which has now confirmed not at the resistance-line directly but some points higher which is normal when such volatility pushes the prices, now there entered some bearish increased price-action the chart which moved ethereum to test the remaining S/R-level in which bounces are likely, in this case I detected some important signals which will determine the further outcomes and destiny of this pair.

S/R-Level:
This level which is marked with light-blue is a level which was formerly strong resistance and then confirmed with a bearish move to the downside, therefore this level is a strong level where price bounces either to the up or downside can happen within a highly possible spectrum. As ethereum now consolidates above this level and shows bearish action a possible fall below this line will increase bearish pressure to the downside as seen in my chart, the bullish scenario is also possible with a stabilization above the level but it is much more unlikely as there are still remaining strong resistance levels locking the price into protracted down moves. When the price falls below this level it will confirm as resistance and possible pull-backs will reverse and continue its downside course.

Back-Up-Zone:
The back-up-zone ethereum is providing here matches with the Fibonacci-supports from the 38.2 to the 61.8 Fibonacci-level marked in blue. When ethereum visits this area a bounce can happen in either of these Fibonaccis, together with the 100-EMA marked in orange it is building a coherent support-cluster here where a back-up can happen therefore it is important to don't fall below the EMA and below the back-up-zone. When ethereum stabilizes here and forms some up-moves it will be important to move above the S/R-level when considering any bullish continuation otherwise this can still be a fake-rally confirming the resistance and pushing the price back down again. Overall we should not underrate the bearish pace to the downside which can inevitably establish here.

As bitcoin and other cryptocurrencies showing similar signs these are just validating the scenario in ethereum, bitcoin fell below the important support-cluster I mentioned therefore activated a possible gap-fill. There where many which still where on the bullish side supported by crypto youtube which pushing this speculative approach but it is just logical and most often happening that after such heavy volatile rallies minimum a correction takes place where the price retraces or forms higher pull-backs, this is what the situation gives and what we should not keep by side, by the way it is really great to watch that our elite channel catched this downside action before it established, this means to trade what one is seeing not what one is thinking.

In this manner, thank you for watching the analysis, support for more market insight and all the best my friends.
"Comfort and prosperity have never enriched the world as much as adversity has."

Information provided is only educational and should not be used to take action in the market.