Ether Price Correction Is Likely Over
|Ether price after trading as low as $12.70 against the US Dollar found support.|
|There is likely a double bottom pattern forming on the hourly chart of ETH/USD, which may lift the pair going forward.|
|The pair also broke a minor bearish trend line on the same chart, signaling an upside move.|
Technically, the 4-hours chart suggests that the pair is finding support near a major technical level with indicators turning north.
ETH/USD Trend Change
Ether was seen under pressure against both the US Dollar and Bitcoin, as yesterday’s highlighted correction pattern extended too far. The ETH/USD pair traded as low as $12.70 and ETH/BTC formed a low of 0.0205BTC before both pairs found support and started moving higher.
The ETH/USD pair downside found buyers around the last swing low (as highlighted on the hourly chart with green circles). This means there is a chance that the pair has formed a double bottom pattern. The pair is already recovering, and moved above the 23.6% Fib retracement level of the last drop from the $14.31 high to $12.70 low.
Furthermore, there was a bearish trend line formed on the hourly chart of ETH/USD, which was broken to open the doors for an upside move. The pair is currently struggling to clear the $13.50 resistance area, but if the recent break is true, there is a possibility of a move towards $14.00.
When we look at the 4-hours chart, it is clear that the recent bounce was from a perfect technical support level. The same level was a resistance zone earlier, and now prevented a downside move.
The only concern is the loss of momentum. The Ether bulls need to stay in action, else it may give sellers a chance of to push the price down once again.