Disclaimer: The findings of the next evaluation are the only real opinions of the author and shouldn’t be thought of funding recommendation
Ethereum Traditional has a bullish outlook for the following few weeks. Even on an extended timeframe, Ethereum Traditional is at a spot that provides an important risk-to-reward shopping for alternative. The $34-$36 space presents an space of demand, one which has been an space of resistance since December.
The worth shot previous this space in late March. On the time of writing, it had revisited this space searching for demand.
Ethereum Traditional – 12 Hour Chart
Supply: ETC/USDT on TradingView
Based mostly on the transfer from $26.52 to $52.7, a set of Fibonacci retracement ranges was plotted (yellow). The 61.8% retracement stage lies at $36.52. The complete space from 61.8%-78.6% is technically a shopping for alternative as sturdy strikes retrace to sure percentages earlier than a resumption of the previous development.
Furthermore, going again to mid-December, the $35-$36.5 zone has been an space of resistance. On the time of writing, the value had retested this space and located some demand. Going ahead, a transfer upward may be initiated from the $36-area.
For long-term traders, as long as the value doesn’t dip beneath $32.12, a shopping for alternative can nonetheless current itself. $36.52, $33.52, and $32.12 are ranges that may be anticipated to behave as help, ought to ETC see an extra dip.
Rationale
Supply: ETC/USDT on TradingView
On the 12-hour chart, the RSI flashed a daily bullish divergence simply as the value examined a zone of demand. Therefore, a bounce in worth could possibly be imminent. However, the DMI pictured a robust bearish development in progress. The ADX (yellow) and -DI (pink) have been each above 20.
The OBV has been on a downtrend as the value pulled again, nonetheless, the shopping for quantity when the value broke out previous $36 was fairly excessive. If the OBV can proceed to climb greater, alongside the value, it might be a sign of a real upward transfer.
Conclusion
The worth had retraced to a zone of demand at $36, and a bullish divergence was noticed. A retest of this zone within the subsequent few days is usually a shopping for alternative. Equally, a transfer above $38.65 and its retest as help will also be a shopping for alternative.
