Technical outlook:
Ethereum has raised through $3,200 mark almost testing the recent swing high around $3,300 levels. The crypto might face interim resistance in this zone as bears remain inclined to drag towards $2,600 before the corrective structure completes. On the other side, if bulls are able to consistently break above $3,300 mark, the next upside target is open through $4,000 levels.
Ethereum is expected to complete its Gartley structure which begun from $3,300 mark earlier. Ideally the corrective drop should unfold into three waves and hence potential remains for a drop to $2,600, which is the Fibonacci 0.618 retracement of the recent upswing between $2,100 and $3,300 levels. Bulls will be inclined to be back in control thereafter.
Ethereum is potentially carving a Righ Shoulder of a Head and Shoulder reversal pattern and upside could be seen through $3,800-4,000 levels going forward. Only a consistent push above $4,000 levels would indicate that bulls are inclined to push through all-time highs above $5,000 mark. We shall take a review close to $4,000 mark.
Trading plan:
Potential drop to $2,600 then rally to $4,000 mark against $2,100
Good luck!
