Hello everyone, I invite you to review the chart of ETH in pair with USDT, also on a four-hour interval. First of all, we can use the blue lines to mark the downward trend channel from which the price goes up again, but at this point it is worth defining the main sideways trend channel, where we can see that the price has bounced off the lower border for the second time, which resulted in increases.
As we can see, the attempt to break the blue ema cross 200 line was unsuccessful and we remained in a downward trend.
Now, using the Trend Based Fib Extension tool, we will check what the current supports look like if the price had a greater recovery, and here we can see that after a dynamic increase we returned to the support zone from $1,585 to $1,551, we still have support just below the lower border of the channel at $1,524, and then it is worth marking the second zone from $1,497 to $1,459.
Looking the other way, we can similarly mark places where the price should encounter resistance on the way up. And here again we have an active resistance zone, the price of which failed to hold from $1,604 to $1,631, then there is a second zone from $1,657 to $1,694, and then strong resistance at the upper border of the sideways trend channel at $1,741.
The CHOP index indicates that most of the energy has been used up, the RSI indicator is moving in the upper part of the range and there is still some room for an upward movement, while the STOCH indicator shows the moment of exceeding the upper limit, which exhausted the energy and resulted in a strong rebound.
As we can see, the attempt to break the blue ema cross 200 line was unsuccessful and we remained in a downward trend.
Now, using the Trend Based Fib Extension tool, we will check what the current supports look like if the price had a greater recovery, and here we can see that after a dynamic increase we returned to the support zone from $1,585 to $1,551, we still have support just below the lower border of the channel at $1,524, and then it is worth marking the second zone from $1,497 to $1,459.
Looking the other way, we can similarly mark places where the price should encounter resistance on the way up. And here again we have an active resistance zone, the price of which failed to hold from $1,604 to $1,631, then there is a second zone from $1,657 to $1,694, and then strong resistance at the upper border of the sideways trend channel at $1,741.
The CHOP index indicates that most of the energy has been used up, the RSI indicator is moving in the upper part of the range and there is still some room for an upward movement, while the STOCH indicator shows the moment of exceeding the upper limit, which exhausted the energy and resulted in a strong rebound.