The ETHFI chart clearly displays a broad descending channel that has been containing price action for an extended period. Each bullish attempt has been rejected at the upper boundary of the channel, leading to new lows. However, a recent strong rally brought the price back to test both the upper edge of the channel and key mid-term resistance zones.
Key Technical Levels
• Major Resistance Zone: $1.563 – $1.493
Price was rejected from this area and has since turned downward.
• Mid-Level Support: $1.123
This level temporarily acted as a support but has recently been broken.
• Critical Support Zone: $0.879 – $0.806
This zone has historically served as a demand area and could once again act as a base.
• Long-Term Low: $0.616
This is the most significant support level in case of a deeper correction.
Technical Outlook
• Trend: ETHFI remains within a descending channel. Until a breakout occurs, bullish momentum will likely stay under pressure.
• Direction: After the recent red candle, price has dropped back to around the psychological $1.00 level. If it falls below $0.879, further downside could accelerate.
• Bullish Scenario: A breakout would require reclaiming the $1.123 level and pushing above the strong $1.49–$1.56 resistance area. Only then could the price potentially exit the channel and establish a bullish trend.
Conclusion
ETHFI remains technically constrained within a persistent descending channel. While minor rallies are not uncommon, the broader trend remains unbroken. A failure to hold the $0.879–$0.806 zone could deepen the correction. Conversely, a confirmed breakout above $1.56 — with strong daily closes would be the first major signal of a shift in trend structure. Until then, caution remains warranted.
This content is for informational purposes only and does not constitute financial or investment advice. It outlines technical observations, including key support and resistance levels, which may indicate potential short- to mid-term trading opportunities. Market conditions can change rapidly, and any trading decision is made at the sole discretion and risk of the user. We strongly recommend the use of proper risk management strategies, including stop-loss orders, with any trade setup discussed.