This 4 hour chart setup hypothesises that we could be at the beginning of a bearish channel
, leading ETHXBT
towards a test of two key support levels the first being the volume-based Point of Control around 0.01415. From this point I see a final leg of potential to really test any longs still in the market, and to provide strong buying opportunities as we test strong psychological support at 0.01 and also the trend line
provided by highs of the 12th Feb and 25th Feb in the previous rally. I would then expect a slow and steady recovery of the bull trend with major new buyers from China seeing upside opportunities, combined with more positive Ethereum
news hitting the headlines.
To add additional support to this idea our rate of change
) for all time frames is now trending downwards but does not indicate an over sold situation at present. This is my first idea post and I would be really keen to hear your criticisms and feedback.
I am now out of all ETH and I'm just holding BTC
...I've learnt the hard way not to short this market at present.
I will be looking to build back into my position at the POC
I will exit again on any retracement to the upper descending trendline
I will then stay out of the market until there is either a break above the upper descending trendline
or until we break below 0.0145 and test 0.01 at which point I'm loading up.