Yesterday we saw a bear break from supports and consolidation. This came as a bit of a shock to me, and now we are seeing extreme follow through from the bears as prices shoot lower and approach a double digit pullback on the daily.
Ethereum has broken support and is now looking to hold the $537 support level. This is supported by a bottom floor at the $500 psychological level.
On the 4-hr chart, we're seeing big oversold levels, so there's big potential to see an oversold bounce here. Resistance would be at the $575 level with $580 resistance right above that.
Indicators on longer charts have returned to showing bear pressure, so this pullback is likely continuing for a while should we see the supports continue to break.
Stay safe everyone, if you're looking to get out of a position, wait for a longer bounce. There's been so much bear volume on the shorter charts that we will likely see the bulls show up to buy a dip.
