Ethereum dipped along with overall market but quickly recovered some of the losses. It started a major decline after it broke the $4,250 support from falling wedge formation. ETH also broke the $3,960 support levels and traded as low as $3,327 intraday.
I expect some range trading on these levels, same as we have seen back in May and June. I marked the green area. In May crash, market needed 3 months to digest the wild move and start moving bullish again. I expect recent correction will take shorter time as we are already in deep Fear zone (16 according to Fear & Greed Index).
A clear move above the $4,250 and $4,350 levels could send the price further higher. Any more gains could lift the price towards the $4,650 resistance zone in the near term. On the other side, if ETH fails to start a fresh increase above the $4,250 level, it could start another decline to fill the gap from to the wick low. In the stated case, the price may perhaps decline towards the $3,550 level. The next major breakdown support is $3,960 on Daily chart.
I expect some range trading on these levels, same as we have seen back in May and June. I marked the green area. In May crash, market needed 3 months to digest the wild move and start moving bullish again. I expect recent correction will take shorter time as we are already in deep Fear zone (16 according to Fear & Greed Index).
A clear move above the $4,250 and $4,350 levels could send the price further higher. Any more gains could lift the price towards the $4,650 resistance zone in the near term. On the other side, if ETH fails to start a fresh increase above the $4,250 level, it could start another decline to fill the gap from to the wick low. In the stated case, the price may perhaps decline towards the $3,550 level. The next major breakdown support is $3,960 on Daily chart.