Technical outlook:
Ethereum raised through $3,170 level on Wednesday before pulling back. The crypto has slipped through $3,080 at this point in writing and could drop further towards $2,950-60 mark before finding support again. The rally could resume through $3,800-4,000 zone thereafter as bulls remain poised to hold prices above $2,880 interim lows.
Ethereum has already carved a meaningful downswing between $4,850 and $2,140 levels as seen on the daily chart. The crypto is working on a counter trend rally since $2,140 mark and is expected to reach up to the $3,800 handle to complete the structure. Ideally prices should stay above $2,450 levels to keep the bullish count as valid.
Ethereum carved a lower degree upswing between $2,880 and $3,170 in the past two trading sessions. The crypto might be working on the above upswing and could retrace lower towards $2,950-60 levels before resuming higher. High probability remains for bears to be back in control from the $3,800-4,000 zone going forward.
Trading plan:
Potential rally through $3,800-4,000 against $2,140
Good luck!
