Ethereum Technical Analysis for 05/06/2016 – Big Move Imminent?

In my previous ETH article, I speculated about the technical significance of the 0.0218 area and how it might start acting as resistance. Since the 4th, the 0.0218 area has acted as resistance a total of four times, as well as support on two occasions.

While yesterday’s unexpected news regarding Gemini had a positive effect on price – pushing it to 0.0226 – the market has been unable to break the triangle formation that has been forming since the 2nd of May. The 30-minute chart shows that the trading range has been getting narrower and this indicates that pressure is building up. Is another big move imminent?? It appears that way!

There is also a large pivot area at 0.0205 – which I also described in my last article – that will likely come into play; that is assuming the triangle formation breaks to the downside. Given the history of this area, it would not be surprising to see 0.0205 act as support in the near future. Every trader should have this area marked!

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Disclaimer:  This is not trading/investment advice!

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

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Traderman

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

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