Another ETH & BTC Comparison (I know another bearish ETH chart)
My bearish calls on ETHUSD have not been well received, so I will start by saying I am not an ETH hater, I have actually been pulling for the flippening harder than most. That being said, I call them as I see them. I am also open to criticism, so lay it on me. I also apologize in advance for the cluttered chart, there isn't a great way to show this in such a small space.
Here goes:
I've been monitoring many similarities between ETH and BTC. Historically Ethereum has closely followed Bitcoin's price action, although there are periods of divergence. I think since BTC has found it's top, ETH has been lagging behind, but still following many similar trends. Here I see that ETHUSD formed and has since broken out of a rising wedge, very similar to BTCUSD during it's so called "bull trap". Assuming we have found a temporary bottom at point 'A', which so happens to be a 0.618 fib support, I think we can expect to bounce from here. Either up to the 0.382 fib from our recent low to recent high, or to the 0.786 fib retrace of this past tumble, PT: $1067-$1112. From there we will fall to somewhere between $800 and (the lower extreme) $650. This coincides with the lower boundary of our pitchfork, which would confirm an edge to edge, or the 1.272 fib extension of our previously posted bearish gartley harmonic. After that it's anyone's guess, but I would put my money on bouncing between the 1 and 1.272 fib channel lines before breaking down out of our pitchfork.
*THIS IS NOT TRADING ADVICE*
Here goes:
I've been monitoring many similarities between ETH and BTC. Historically Ethereum has closely followed Bitcoin's price action, although there are periods of divergence. I think since BTC has found it's top, ETH has been lagging behind, but still following many similar trends. Here I see that ETHUSD formed and has since broken out of a rising wedge, very similar to BTCUSD during it's so called "bull trap". Assuming we have found a temporary bottom at point 'A', which so happens to be a 0.618 fib support, I think we can expect to bounce from here. Either up to the 0.382 fib from our recent low to recent high, or to the 0.786 fib retrace of this past tumble, PT: $1067-$1112. From there we will fall to somewhere between $800 and (the lower extreme) $650. This coincides with the lower boundary of our pitchfork, which would confirm an edge to edge, or the 1.272 fib extension of our previously posted bearish gartley harmonic. After that it's anyone's guess, but I would put my money on bouncing between the 1 and 1.272 fib channel lines before breaking down out of our pitchfork.
*THIS IS NOT TRADING ADVICE*
Comment:
Also not the similarities between the breaking of the wedge and the upward thrust retesting the support line turned resistance.
Trade closed: target reached:
We could find support here at $700, which is within our target range. Potential for new lows still possible.
Comment:
Could bounce to $900 or $850 before falling further.
Trade closed: target reached:
Money!
