In previous posts we mentioned the triangle pattern Ethereum was trading in. Price broke out and below the triangle pattern providing us with a bearish signal. Price bounced towards the lower triangle boundary for a back test and the rejection has lead to new lower lows.
Ethereum got rejected at the back test of the broken triangle pattern and is making lower lows and lower highs. Our expectation is to see price break below $2,000 soon and eventually test the May lows. There are increased chances of breaking below the May lows, specially because the bounce after the decline was very shallow. This is a sign of weakness. Resistance is found at $2,350. Trend remains bearish as long as price is below $2,700.
