Ethereum Medium-term Trend: Bullish
Supply zones: $700, $750, $800
Demand zones: $350, $300, $250
Ethereum is in a bullish trend in the medium-term outlook. The strong bullish pressure resulted in the breakout from the $470.71 in the supply area of yesterday range. The cryptocurrency made a new high of $515.28.
The strong supply zone at $491.74 was broken with a large engulfing candle after the formation of bullish railway track at $465.14 in the demand area.
Price is above the two EMAs crossover, also the EMAs are fanned apart which suggest strength in the context of the trend and in this case the uptrend. The 12-day EMA acted as a strong support for the bulls as price downward movement by the bears was rejected at this point.
The Fibonacci retracement shows price is within the 23.6 fib level. This is a trend continuation zone. A pullback to retest the broken supply zone may occur which will likely bring the bulls much stronger to push price further up to $520.00 in the supply area.
The stochastic is in the overbought region at 82 percent and its signal still points up which implies strong upward momentum in price due to the bulls pressure in the medium-term.
Ethereum short-term Trend: Bullish
ETH is in a bullish trend in the short-term outlook. The breakout that occurred at $479.95 in the supply area of yesterday range took the cryptocurrency up to a higher high of $511.65 in the supply area.
The formation of a bearish railway track had a minor effect on price as it was down $498.80 in the demand area. With the daily candle opening bullish at $499.11, the bulls moved the cryptocurrency to a new high at $515.28 in the supply area.
Each touch of price on the upward trendline gives a bounce. It implies that if price touches the trendline we will see a bounce and another higher high will be made as the bullish momentum increases.
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