ETH/USD analysis, November 3

03.11.2020 17:47:40

Since the beginning of the week, the pair ETH/USD began to show a correction and dropped from the level of $400 to the level of $370. But today, with the approach of the US elections and the growing uncertainty, it has begun to recover. And at the time of publication, the pair ETH/USD is trading at $381.

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In addition to fundamental factors, on the 4-hour chart of the pair ETH/USD, we can observe a confrontation between two patterns. During October, the price moved in an upward channel. Having reached the top of $421, the pair turned around and began to decline, breaking through the lower border of the ascending channel, it formed a descending channel. However, in recent days, the pair ETH/USD, having reached the lower border of the descending channel, turned around and began to show growth. Thus, it can be assumed that the pair ETH/USD will return to the level of $400 in the coming days.

Technical indicators RSI, MACD are showing bullish signals. The RSI started to show gains after hitting 30.

In the current situation, the important resistance levels for the pair ETH/USD are the level of $380 and $400. An important support level is the level of $360. The entry point to the market is the $370 level, here you can open long buy orders. Stop-loss should be set around $360.

The analysis shows that the recovery of the pair ETH/USD to the level of $400 is inevitable. The main question is how long it will take for Ethereum to recover to this area.