Technical outlook:
Ethereum dropped through the $1,175 lows in the early hours on Tuesday after printing the $1,280 highs over the weekend. The crypto is seen to be trading close to $1,188 at this point in writing and is expected to drag further towards $1,040. in the next few trading sessions. The near-term bullish structure will remain intact until prices stay above $880.
Ethereum has carved a meaningful larger-degree downswing between $4,850 and $880 in the past several months. The drop looks complete for now as bulls are preparing for a counter-trend rally towards $2,400 and up to $3,300 going forward. If the above structure holds well, the crypto will remain above $880 as bulls regain control.
Ethereum has further carved a lower-degree upswing between $880 and $1,280 in the past few trading sessions. Prices are currently retracing from the upper border and are expected to slip further towards $1,040 before turning higher again. Traders might be preparing to hold long positions and add more at around $1,040.
Trading plan:
Potential rally through $2,400 and higher against $880
Good luck!
