Ethereum is still forming a sideway movement. The situation is heating up. The resolution is likely to come in a form of a powerful impulse.
Which direction will Ethereum choose?
The length of the current flat is a result of a rebound towards the medium-term upward trend taking place. Consequently, after this flat ends, a medium-term movement will follow. Market dynamics tell us that it should be a powerful impulse.
For that impulse to become the most likely to begin, several conditions have to be fulfilled. As long as Etherum’s price is rebounding from key resistance lines, the flat will continue. That’s why the price has to disrupt the dynamic of the flat. A more conservative projection for that is the point when Ethereum will be traded at one of the flat’s limits.
After such a fortification, Ethereum’s price is going to form a turn, and will be likely to follow with an impulse. But a powerful impulse can also form right inside the flat. That’s why a more risky indicator is a new upward rebound from the bottom limit of the flat.
The upward trend remains. But a turn around $13.4 can disrupt the structure of that trend. With those conditions, Ethereum’s price will be likely to form a downward impulse toward at least the $11.5 mark.