In yesterday’s drop Ethereum has fallen to the line ascending support relevant since the formation of the bottom 13 of March. Now the main question is whether to continue the fall, or there will be a rebound up from current price depends on the future development of the bullish trend.
The daily chart shows that Ethereum might have formed a double top, «Adam and eve», which is considered a bearish reversal pattern. Moreover, this figure appeared in the district level of 0.618% Fibonacci retracement of the previous decline, as well as in the area of minor resistance zone, that only confirms the comfortable nature of this level for reversal.
If the price goes the entire length of the pattern, it may fall to $140.
However, on shorter-term charts there is a more optimistic picture.
First, the quotes have increased along with the rising support line since hitting bottom on March 13. Secondly, on may 2, the token follows the horizontal resistance line that may be forming an ascending triangle.
If so, Ethereum needs to make a bullish breakout of this pattern. Moreover, climbing the entire length of the pattern can send the coin to around $255.
On the trust level of $225 is also mentioned in the tweet of the crypto trader @CryptoMichNL, which has published the schedule of Ethereum and noted a small rollback, along with two targets placed at $250 and $290.
Thus, from whether the token to bounce from a support line or bearish breakout will make, depends on the direction of movement of the longer-term trend of Ethereum.
The pair ETH/ looks positive on the charts. The price has breached the resistance zone ₿0.221, while the RSI broke the downward resistance line and moves in a northerly direction.
Finally, the 50 — and 200-hour moving averages formed a bullish cross, and now the price is over them.
For all these reasons, it can be assumed that the course ETH/BTC will rise towards the level ₿0.225.