Ethereum (ETH) The price is showing a downward trend within the chart it is currently on. Counter trend trading seen on the Ethereum chart is generally considered a high-risk structure and not recommended to enter.
Ethereum Price May Continue Falling
Ethereum priceappears to be trading choppy inside a “finished diagonal pattern”, which is a very promising indicator for the bulls. Besides, the price action within the pattern may not have fully shown proof of its completion.
There are currently no breaches on either side of the trendline. The strong bearish candle, printed with a close of $2,809 on April 26, could be just one of the dips within the pattern. Therefore, a drop for ETH price while respecting the overall diagonal dimensions is one of the more likely moves.
Ethereum price volume marks another drop in price as an equal amount of bearish volume enters the market. A Fibonacci projection tool surrounding the most significant drop inside the triangle predicts a drop to $2,426. Traders should expect volatile price action with potential frauds to entice the bulls to get on the wrong side of the trade.
A break of the $3,039 level is needed to invalidate the bearish thesis. If the bulls can pull a swing to this level, the downtrend scenario will be invalidated. A potential bullish target would be $3,280, which results in an 18% increase from the current Ethereum price.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.