Ethereum/USD has established an extensive bullish movement since July 19. Since then, Crypto market has been quite bullish on Ethereum with new DAIlY highs being hit every now and then.
Around the price level of 3333, a new high for Ethereum was established. Since then, a sideway consolidative movement has been expressed below 3333 down to 2950.
In the meanwhile, an ascending bullish channel has been expressed. For three successive trials, Ethereum has failed to push below the lower limit of the depicted channel.
This indicates lack of bearish persistence rendering the short-term outlook as bullish.
On the other hand, Ethereum has invaded the price level of 3333 which got breached to the upside with significant bullish price action.
That's why, this bullish movement was expected to pursue towards the price level of 3600 which needed to be visited before further trading decisions could be taken.
Around the current price levels, Ethereum looks quite overbought while testing the upper limit of the depicted bullish channel. Hence, counter-trend traders may be looking for signs of bearish rejection for a possible downside pullback towards 3333.
Trading Plan:
Currently, the current price level of 3625-3700 stands as a prominent supply zone to offer bearish pressure on Ethereum. Any signs of bearish rejection should be considered as a valid SELL Signal. T/p level to be projected towards 3333
On the other hand, the price level of 3333 stands as a prominent support level to be watched for bullish trades if any bearish pullback occurs. Initial T/p levels to be located around 3500 and 3625.
The material has been provided by InstaForex Company - www.instaforex.com