Red lines -bearish channel
Ethereum price remains inside the medium-term bearish channel. Price continues to respect the channel boundaries and is still making lower lows and lower highs. Trend is clearly bearish and as the RSI suggests, only in the near term we should expect a bounce higher, but only as a short-term relief bounce. Resistance by the bearish channel is found at $1,250. As long as price is below this level, Ethereum remains vulnerable to more downside. Next downside target could be around $840, specially if support at $1,040 fails to hold. The RSI is diverging in the 4 hour chart and this justifies a one day or two bounce higher. Overall we remain bearish expecting to see lower levels.
