Ethereum Is Set for Another Correction

Ethereum is currently on an uptrend. The Ethereum market structure on the daily timeframe has been very neat and discernible. The triple bottom in July (last year) was used to engineer a rapid upthrust in the price from $1021.0 to $2019.0. The bearish shift in market structure played out in August after the market tested the $2019.0 supply level. Lower highs produced new lower highs until the market reached the region of the bullish order block below $1273.0 in November. A bullish trendline anchored at the major lows in June and November was tested in the market. This fostered a launch above $1718.0.

ETH Key Levels:
Resistance Levels: $1912.0, $2019.0,$ 2300.0
Support Levels: $1436.0, $1273.0, $1021.0

What Is the Indicator Saying?

In July last year, the third bottom of the triple-bottom bullish reversal pattern formed when the market was oversold, as indicated by the Stochastic. This made it easy for the price to soar to $ 2019.0. Before the takeoff, the Stochastic along with the daily candlesticks had revealed the will of the Buyers. In June, prominent rejection candles formed below $1021.0 when the Stochastic indicated the Bears were exhausted.

In September, the bearish trend continued after the shift in market structure. The Stochastic indicator was overbought at the pullback to $1718.0. This causes a bearish displacement of $1723.0. This month, the pullback on the ETH market tested the ascending trendline when the Stochastic was oversold. This has resulted in a launch above $1718.0. A pullback on the uptrend is expected as the Stochastic is now overbought. The anticipated retracement is expected to prompt a rise in the price of ETH to $192.0.

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