ETHUSD Sets to Begin Its Reversal to the Downside

ETHUSD is set to begin its reversal to the downside as the distribution phase ends. Following the formation of the $2030.00 high, ETHUSD was immersed in the discount as the bulls exited the market. The downtrend that emerged as a result of the crash from the $2030.00 high ended as the price approached $1530.00. Owing to the buying pressure from the $1530.00 demand zone, the bears failed to keep the market bearish.

The price of Ethereum began a new phase of markup as the price aggressively skyrocketed, leaving a FVG (Fair Value Gap) of $1726.00. The emerging uptrend as a result of the validation of the $1530.00 demand zone caused more bears to leave the market. The continuous rally eventually invalidated the major high at $2030.00, causing a BOS (Break Of Structure) to the upside. The trading range of the market is between $2140.00 and $1521.00 as of now. A major retracement into the FVG at the discount zone is likely to occur before the bullish trend is resumed.

ETH Key Levels

Demand Levels: $1875.00, $1755.00, $1530.00
Supply Levels: $2140.00, $2530.00, $2716.00

What are the Indicators Saying?

The contrast between the Moving Averages in Period 9 and Period 21 indicates that a major correction to the downside is likely to occur. According to the RSI (Relative Strength Index), the market is set to begin a reversal to the downside as it leaves the overbought region.

 

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