ETHUSD pushes through key technical resistance level
Ethereum/US Dollar Index (ETHUSD) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
ETHUSD finished Saturday at 368.53 gaining $2.95 (0.81%) on low volume. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (ETHUSD as at Oct 17, 2020):
Saturday's trading range has been $6.89 (1.88%), that's far below the last trading month's daily average range of $14.32. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ETHUSD.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. After moving lower in the prior session, ETH managed to close higher but below the previous day's open, forming a bullish Harami Candle. The last time this candlestick pattern showed up on October 7th, ETHUSD gained 2.72% on the following trading day.
Buyers managed to take out the key technical resistance level at 366.09 (now S1), which is likely to act as support going forward.
Ethereum shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Selling might speed up should prices move below the close-by swing low at 361.57 where further sell stops could get triggered.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for ETH/USD. Out of 213 times, ETHUSD closed lower 57.75% of the time on the next trading day after the market condition occurred.
With three of the other Major Cryptocurrencies closing higher and three closing lower today, the winners of the day are BTCUSD surging 0.37% and ETCUSD gaining 0.36%. On the flipside the worst performers have been BCHUSD closing -2.05% lower and LTCUSD losing -1.43%. Looking at the Minor Cryptocurrencies, the winners of the day have been WAVESUSD surging 8.14% and WAVESBTC closing 7.59% higher. The worst performers of the day have been BCNUSD tanking -10.94% and BCHBTC closing -2.26% lower. Read more