Technical outlook:
Ethereum dropped through the $997 lows intraday on Thursday before finding support again. The crypto has pulled back sharply and is seen to be trading close to $1,025 at this point in writing. Bulls will be poised to come back in control and hit the $1,525 and $1,925 potential targets over the next few weeks.
Ethereum has been working on its larger degree downswing between $4,850 and $880 since June 18, 2022. The above downswing unfolded as a zigzag and looks complete at $880 for the next few weeks. If the proposed structure holds well, prices would produce a meaningful corrective rally towards $2,400 at least.
Ethereum has also carved a lower degree upswing between $880 and $1,280 in the past two weeks as seen on the chart here. Furthermore, prices have now retraced following the above upswing to $997, which is just below the Fibonacci 0.618 retracement of the above upswing. The high probability remains for bulls to be back in control from here.
Trading plan:
Potential rally through $1,525 and $1,925 against $880
Good luck!
