Ethereum’s price is continuing its upward trend. Whether that short-term trend is a wave within a flat will be apparent after its structure is completely formed.
What is the most likely scenario for a turn to decline?
After fortifying at a key level of $10.4, Ethereum’s price has formed an upward impulse. The structure of the downward trend was broken at that point, and the downward movement was consequently a rebound.
There is still a chance of the current upward trend turning out to be a wave within a flat. But for that to be true, the structure of the trend has to be disrupted. If a medium-term impulse is underway, the most likely peak of a rebound will be at the intersection point for several key levels. Those are the slanted channel which is responsible for the structure of the trend, and the moving average 20. The level of large trading volumes can also serve as support for the upward movement of Ethereum’s price. The resulting level is $11.2. Ethereum’s price is likely to rebound from that line, if the future trend has sufficient support. Otherwise there will be a fortification and a turn to decline. In that case, Ethereum’s price will most likely drop back to the starting point.
A turn to decline is most likely to happen at the level of $11.2.