Ethereum is currently trading back around the $1,100 level following Monday’s 20% correction to beneath $910.
The world’s second largest cryptocurrency remains bullish on all higher time frames with it having risen by 236% since September.
If Ethereum can close this evening’s three day candle above the $1,110 level of resistance, it would indicate a period of bullish continuation over the coming weeks.
However, a rejection from this level would be a concerning sign as it would indicate a lack of bullish momentum.
If that is the case, downside targets would begin to emerge at both $1,000 and $910, although a deeper correction could re-test the previous breakout level at $750.
It’s worth noting that leading up to Ethereum’s correction on Monday it was displaying clear signs of bearish divergence, with the RSI printing lower highs while price action swept to a higher high.
It now needs to avoid printing a lower high in terms of price action by beginning to close daily candles back above the $1,125 mark.
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Ethereum was launched by Vitalik Buterin on July 30 2015. He was a researcher and programmer working on Bitcoin Magazine and he initially wrote a whitepaper in 2013 describing Ethereum.
Buterin had proposed that Bitcoin needed a scripting language. He decided to develop a new platform with a more general scripting language when he couldn’t get buy-in to his proposal.
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