Ethereum: USD/ETH (ETH=) price broke out from an ascending channel

Ethereum: USD/ETH (ETH=) price broke out from an ascending channel

The Ethereum price has increased significantly since the beginning of the year when it was trading near $130.

Ethereum Logarithmic Curve

First of all, it is worth looking at the weekly logarithmic chart. Due to the possible curved ascending support line, it is possible that the $122 low reached on Dec 19, 2019, was the low prior to the next bullish market cycle.

In this case, this low could be similar to those reached in January 2016 and 2017, prior to the preceding bullish market cycles that had rates of increase of 1,534% and 5,201%, respectively.

In order to reach a new all-time high, an increase of 1,287% would be required measuring from the $122 low. Therefore, if a new bullish market cycle transpires, a new ATH would definitely be in reach.

Ethereum price has broken out from a descending channel and validated it as support afterward. The increase will likely continue at least until the price reaches the resistance area outlined above. A price decrease below the ascending support line would invalidate this possibility.

Technical Indicators

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

By the way, prices are vulnerable to a correction towards 157.93.

The projected upper bound is: 188.41.

The projected lower bound is: 158.39.

The projected closing price is: 173.40.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 30 white candles and 20 black candles for a net of 10 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 80.5725. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 11 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 64.02. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 11 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 95. This is not a topping or bottoming area. The last signal was a sell 0 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 6 period(s) ago.

Rex Takasugi – TD Profile

FOREX ETH= closed down -2.800 at 172.810. Volume was 73% below average (consolidating) and Bollinger Bands were 9% wider than normal.

Open     High      Low     Close     Volume___
175.990 176.210 170.110 172.810 18,628
Technical Outlook 
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period     50-period     200-period
Close: 168.05 145.58 175.14
Volatility: 38 66 71
Volume: 82,243 78,529 67,710

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX ETH= is currently 1.3% below its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of ETH= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on ETH= and have had this outlook for the last 24 periods.

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