Ethereum 4 month trendchannel - Is this the top for now?
Hello Traders
I would like to share this chart with you. It is the 6 hour chart of Ethereum ETH. You can see here an almost perfect trend channel over a period of more than 4 months.
Interestingly, we have now reached the exact top of the channel with the latest rise in Ethereum. There is also a short but very steep trend channel in the larger upward trend channel. The Price has now converged with the short and long trend channel on the upside.
It is now good to watch what happens next. My idea is that there should first be a correction to the current sharp rise. So I am not a buyer of Ethereum at these levels now. I prefer buying at the lower boundery of the trendchannel because of a much better risk reward and less risk.
If Ethereum does break out further upwards I would certainly place tight stops to protect profits.
A next target for a breakout from this long-term trend channel would then be 4000 USD.
Please share your thoughts about Ethereum. Do you think it will have a correction or do you think it will break the upward trend channel and continues to rise. Please explain not only your view but more important the how and why!
In the past Ethereum was not able to breakout this channel so it is very interesting how it further develops!
I would like to share this chart with you. It is the 6 hour chart of Ethereum ETH. You can see here an almost perfect trend channel over a period of more than 4 months.
Interestingly, we have now reached the exact top of the channel with the latest rise in Ethereum. There is also a short but very steep trend channel in the larger upward trend channel. The Price has now converged with the short and long trend channel on the upside.
It is now good to watch what happens next. My idea is that there should first be a correction to the current sharp rise. So I am not a buyer of Ethereum at these levels now. I prefer buying at the lower boundery of the trendchannel because of a much better risk reward and less risk.
If Ethereum does break out further upwards I would certainly place tight stops to protect profits.
A next target for a breakout from this long-term trend channel would then be 4000 USD.
Please share your thoughts about Ethereum. Do you think it will have a correction or do you think it will break the upward trend channel and continues to rise. Please explain not only your view but more important the how and why!
In the past Ethereum was not able to breakout this channel so it is very interesting how it further develops!
Comment:
The RSI is also overbought which predicted some strong response in the past.
Comment:
Something interesting is that we see again some sort of volume spike. The point is who is selling and who is buying. I think institutions always want to buy with a discount and they can easely manipulate the market and pump prices up.
So this volume spike is almost sure the cause of traders buying. and big boys selling.
Would you go long seeing this chart as it is right now?
So this volume spike is almost sure the cause of traders buying. and big boys selling.
Would you go long seeing this chart as it is right now?
Comment:
Here an update for Ethereum.
We can see price bounced back on the top of the channel which look to act like support now. We also see a hammer candlestick. The volume with the outbreak was higher than normal which is a good sign.
We can see price bounced back on the top of the channel which look to act like support now. We also see a hammer candlestick. The volume with the outbreak was higher than normal which is a good sign.
Comment:
Price could go higher from here because we already are now higher than the last all time high. First target is 4000 USD.
Comment:
Traders we are on the way for much higher targets!
Happy trading!
Happy trading!
My previous analysis was a shorter trend channel but after longer research I found this one and it seems even more accurate to me.