On the chart we can see that ETH is currently testing it's bear market trendline resistance, since topping out in NOV of 21 ETH has faced serious rejection from this same trendline on two different occasions and is now testing it for a third time.
ETH is also currently at a major structure level (red zone) that ETH has reacted to multiple times in the past as support and resistance.
In June and July of 21 ETH formed a double bottom on the daily timeframe at this same structure level before making it's way to its ATH of nearly $5000.
If ETH can close above the bear market trendline and resistance (red zone) on the daily then there stands a high probability of ETH testing $2000 (black line) and potentially breaking it, especially if BTC can make a strong daily close above $25000 and start to make it's way to the $30000 level.
But at the same time we cannot ignore the risk that ETH could face serious rejection from this level like it has done on multiple occasions in the past and start to head lower in price.
ETH has to protect it's most recent low it made at around $1500 (blue line) as a daily close below this level wouldn't be good for ETH in my opinion and could result in price testing the trendline support.
Trade safe Trade green
ETH is also currently at a major structure level (red zone) that ETH has reacted to multiple times in the past as support and resistance.
In June and July of 21 ETH formed a double bottom on the daily timeframe at this same structure level before making it's way to its ATH of nearly $5000.
If ETH can close above the bear market trendline and resistance (red zone) on the daily then there stands a high probability of ETH testing $2000 (black line) and potentially breaking it, especially if BTC can make a strong daily close above $25000 and start to make it's way to the $30000 level.
But at the same time we cannot ignore the risk that ETH could face serious rejection from this level like it has done on multiple occasions in the past and start to head lower in price.
ETH has to protect it's most recent low it made at around $1500 (blue line) as a daily close below this level wouldn't be good for ETH in my opinion and could result in price testing the trendline support.
Trade safe Trade green
