Ethereum Daily Price Analysis:
If we go back in the days in which the whole sector used to go through amazing times, a movement like the one registered by the price of Ethereum on the 8th of February would have had less chances to be considered impressing.
But nowadays, after the market drop we could see in 2018, a price movement from 105$ to 121$ is huge and for sure it brought back some of the hopes.
However, even if the market is very low compared to it's heights, we have to admit that the entire sector keeps it's specifications and remains like a "wild horse" compared to the rest.
After 29 consecutive days of bearish trend , we can easily go back in time and compare the elements which signaled such a period, so we can see if there's anything which can help us in our forecast.
Therefore, on the 6th of January we could see the "fast" line of the Stochastic going below the "slow" one, signaling a potential decrease of the price which eventually happened.
After 4 days of dropping we could see how the price went below the 20 days Moving Average, when the "Bearish" trend has officially started. The cross has been announced by the MACD in the same day as well, with it's Signal line maintaining it's position at the top.
Today, we are 3 days after the 15% increase of the price which was signaled by both of the previous indicators and we have a small contradiction between it as it follows :
- The MACD is still above the Signal, meaning that the bullish trend may continue;
- The "fast" line of the Stochastic is still above the "low" one but as long as these one are about to cross each other it is possible to see a change in the price direction.
- On top of this, the trading volumes are moderate and the RSI is maintaining it's neutral position, meaning that there are small chances to see an aggressive movement.
Based on all these details, we have 2 possible scenarios :
- The price will start moving sideways between the Pivot Level and the Resistance Level 1, consolidating it's position, with the possibility of going towards 138$ for the upcoming days
- After the period in which it will move sideways, the price will go below the Pivot Level with a possible target at 107$.
Considering the low level of the trading volumes, we are tempted to say that the 2nd scenario has bigger chances to be caught off.