In my previous analysis, there was a falling wedge, however, I had to redraw it because I believe that I drew it incorrectly as the was a break of the upper trendline and then a symmetrical triangle was formed. The symmetrical triangle broke to the downside with decreasing volume.
The Chart:
As I have mentioned before, the resistance should be the red trendline which is the trendline in which ETH had been accumulating when BTC went parabolic. This trendline coincides with the horizontal resistance of 230. There will also be resistance around 200. The price objective of the falling wedge is given in yellow (~220) and it includes the yellow box.
Possible Price Action:
For this falling wedge, I am would look out for a small break of the upper trendline with the upper trendline becoming support as it consolidates then a high volume break out. Or simply a high volume breakout through the upper trendline.
On the lower time frame, there is a bullish curve occurring which suggests that we are going to be breaking out of the falling wedge.
Previous Analysis:
The Chart:
As I have mentioned before, the resistance should be the red trendline which is the trendline in which ETH had been accumulating when BTC went parabolic. This trendline coincides with the horizontal resistance of 230. There will also be resistance around 200. The price objective of the falling wedge is given in yellow (~220) and it includes the yellow box.
Possible Price Action:
For this falling wedge, I am would look out for a small break of the upper trendline with the upper trendline becoming support as it consolidates then a high volume break out. Or simply a high volume breakout through the upper trendline.
On the lower time frame, there is a bullish curve occurring which suggests that we are going to be breaking out of the falling wedge.
Previous Analysis:
Comment:
If bitcoin falls or consolidated, it is likely that ETH will fall here or consolidate as well. For this wedge to have a valid break out, it needs to have its upper trendline be support. In addition, ~180 should provide some support.
Comment:
The market Looks weak right now. We have re-entered the falling wedge and it looks like we are going to be testing lower price. The price objective of the falling wedge to the down side is approximately 100.