Note: We are utilizing the Elliott Wave Principle.
ETH/USD may have registered a temporary high near 251, where wave 5 equals wave 1 - a common wave relationship. This implies a corrective pullback, which would provide a buying opportunity. A key zone to watch near term is the 225 - 218 Fibonacci area. Overcoming this zone will likely then target channel support near 200. Closing price action below this level would confirm a bearish reversal is underway and probably then lead to a larger decline towards wave 4 extreme near 175, a common target for second-wave pullbacks. Near this level, we will ideally see a bullish reversal.
Bottom line: The big picture is bullish, however, near term, a corrective pullback is likely to precede the next five-wave advance in ETH/USD. Ivo Z
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The latest drop in ETH/USD was corrective, moreover, the projected Fibonacci area held when tested. This keeps the focus higher in ETHUSD. However, the bottom line remains the upside is limited short term and a corrective pullback is due, as discussed in our latest update: