Ethereum MTF Technical Analysis 2024-08-27

Ethereum is now trading at $2600 and this month saw a lot of volatility but mainly bearish as the price went from above the $3000 level down to the exact 0.236 Fibonacci level at $2130.

The August monthly candle is printing a long lower shadow and the close above or below the 24 months EMA will be crucial to indicate a global trend. It will be 3 bearish candles in a row, which has been the maximum over the last 4 years although we saw a 7 months in a row decline back in 2018.

On the weekly, price is still trading above the 200 MA which is acting as support meanwhile the 50 MA is a good indicator of the current trend: a close below is often bearish in history. Globally, price is consolidating with higher lows since May 2022, however, we are still not seeing a new ATH since the $5000 ETH in late 2021.

On the Daily, the start of the month decline printed a death cross between the 50 and 200 MA, at a low angle though. Since then, the price recovered a bit and oscillators remain bearish. The Bollinger Bands are indicating a consolidation which is often preceding a huge move.

The 4-hour chart is more interesting though. We can better see that ETH is trading in a range/horizontal channel. The Stoch RSI is indicating that the price is currently oversold. Price is likely to bounce on the lower line of the channel, and a breakout below would be catastrophic for the bulls.

In conclusion, indicators are currently bearish on most timeframes, although still bullish on the very long term (monthly+) as long as this month closes above the moving averages. The next targets for the bulls would be $2800 then $3100, and for the bears $2500 before $2136.

Written by Cyatophilum - Created 1 month ago - Last edited 1 month ago