A touch, bounce, and breakout
The line you see on the chart are the fibonacci 0.618 and .5 (yellow and green broken line respectively), another yellow ray plotted on its local low, a white line extended on the right side of the chart plotted from its ATH 16th of Dec. at 20:00 GMT, and an 21 EMA on a weekly timeframe. From these setup I can conclude:
1. ETH has not broken its market structure.
2. The lows it had created was actually a good buying opportunity for investors and very aggressive traders (different groups of people for clarification)
3. As ETH breaks out above the triangle it had created with the white line and .5 fibb level (which was the most commonly touch fibb level) it indicates that it is starting to gain a higher probability on for a trend continuation. Measuring from its ATH to the .5 fibb level, my price target is 4943.69
It might take time to reach this level as we might havea possible psychological resistance between 4400 and 4500 levels.
1. ETH has not broken its market structure.
2. The lows it had created was actually a good buying opportunity for investors and very aggressive traders (different groups of people for clarification)
3. As ETH breaks out above the triangle it had created with the white line and .5 fibb level (which was the most commonly touch fibb level) it indicates that it is starting to gain a higher probability on for a trend continuation. Measuring from its ATH to the .5 fibb level, my price target is 4943.69
It might take time to reach this level as we might havea possible psychological resistance between 4400 and 4500 levels.
