Cryptocurrency analysis firm MakroVision published its latest assessment for Ethereum (ETH) stating that the asset is in the process of correction following a strong uptrend.
According to the analysis, Ethereum found significant support at $3,965, and the price action is currently within a downtrend channel. A break below this level could open the door to $3,596 (a 0.382 Fibonacci retracement) and then $3,273 (a strong support cluster with a 0.5 Fibonacci retracement).
From an upside perspective, ETH needs to break above its trend channel and, in particular, break above $4,780. A sustained move above this level could pave the way for a new uptrend for Ethereum, according to analysts.
MakroVision summarized the current outlook as follows:
“The critical short-term levels are $3,965 and $3,727. As long as these levels hold, the rally is likely to continue. However, a deeper correction is also possible after the strong rally.”
*This is not investment advice.
