Ethereum Technical Analysis for 01/13/2016 – Reversal Candlestick

The bull market in Ethereum is continuing to show signs of weakness. The 4-hour chart sports a very large Pin candle, which has the highest volume (1213.2 BTC) of any candlestick going back to October of last year. These types of candlesticks – where price spikes up sharply and then abruptly crashes – usually appear at the end of bull markets, and are recognized as reversal signals by many experienced traders. So, if you are long ETH, keep that in mind!

An examination of the 30-minute chart reveals a very discernible Head & Shoulders pattern. The left and right shoulders are fairly well aligned, so it’s a very clean formation.

There is also a huge pivot zone at 0.0026. Price punched below this area yesterday, but was not able to close and stay under 0.0026 in the past two days. This level has now acted as support about eight different times, therefore, a break under this area will be a major event from a technical standpoint.

Related Post

 

 

Disclaimer:  This is not trading/investment advice!

Chart Source: https://poloniex.com/exchange#btc_eth

If you liked this article follow us on twitter @themerklenews

and make sure to subscribe to our newsletter to receive the latest bitcoin and altcoin price analysis and the latest cryptocurrency news.
Traderman

Avid blogger, entrepreneur, and cryptocurrency enthusiast. I love writing about cryptocurrency, NFTs, price analysis, and much more!

Share
Published by
Traderman

Recent Posts

These 3 Cryptos Might Rival Solana, Offering Growth Potential For Investors

Solana's (SOL) meteoric rise surprised the crypto world, leaving many investors feeling they missed out…

1 hour ago

SOL Market Cap Hits $100 Billion as Possible Infinaeon Long-Term Price Targets Surge

The SOL price has surged to well over $200 as its market capitalization exceeded $100…

2 hours ago

XRP Price Prediction: Ripple Could Hit $3 as in 2018 Soon, but RCOF Could Rise Above it from $0.05

When the XRP price shot past $3 in 2018, it carved its place as a…

2 hours ago

BlockDAG’s 100% Bonus Energizes the Market & Cutoshi’s Presale Surges

BlockDAG Drops a Huge 100% Bonus in the Bull Run As Cutoshi Presale Heats Up!…

5 hours ago

Solana Meme Coin Duo PNUT and ACT Rocket On Binance Listings, Could This Altcoin Be Next?  

Memes have been on fire lately, with Solana newcomers Peanut The Squirrel and Act 1:…

6 hours ago

Cardano Price Rockets 50% in a Week! Experts Reveal the Next Crypto to Watch

Cardano price has lit up the crypto world with a dramatic 50% price surge that…

6 hours ago