Ethereum Top Price Prediction: Survival depends on the last strong support line – Confluence Detector
After a period of relative calm, cryptocurrencies suffered a sudden crash. Ethereum was under pressure for a long time and took quite a hit at the recent sell-off. The ETH/USD chart shows it has one critical support line left.
The Technical Confluence Indicator demonstrates that Vitalik Buterin's brainchild enjoys a cluster of potent technical support levels at $253. These include the Fibonacci 161.8%, last month's low, the one-hour low, and the Bolinger Band 15m-Lower.
Further down, there is only a soft support line at $241 which is the Pivot Point one-week Support 3. And then there is nothing as far as the eye can see.
Looking up, some resistance awaits at $268 which is the one-hour high, the Pivot Point one-week Support 1, the PP S3, the BB 1h-Lower, and last week's low.
A more substantial cap awaits at $283 which is the convergence of the Fibonacci 23.6% one-day, the BB one-hour-Middle, the SMA 100-4h, and the BB 4h-Lower.
Click to see the Full Confluence Indicator
Here is how it looks on the tool:
The Confluence Detector finds exciting opportunities using Technical Confluences. The TC is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.
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This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence adjacents price levels. These weightings mean that one price level without any indicator or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.
Author
Yohay Elam
FXStreet
Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.
