Ethereum faces the TD sales signal with key resistance – $ 4,100 further?

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The analyst pointed out that Ethereum noticed the sales signal at Tom Demark (TD) Sequential along with the re -test of the key resistance line.

Ethereum trads around the upper limit of the descending channel

In fresh post In X, Ali Martinez analyst spoke about what Ethereum looks like from the perspective of technical analysis (Ta). First of all, Martinez noticed that over the past few months ETH has been listed in the decreasing channel.

The decreasing channel refers to the consolidation pattern, which is created every time the price of the asset is moved between two parallel lines that are inclined down. This is a type of parallel channel.

Below is a chart made available by an analyst, which shows the decreasing channel for the 12-hour Ethereum price.

The chart shows that Ethereum fell at the end of September towards the lower level of the descending channel, but found support on it and reflected again. It is assumed that the lower limit of all parallel channels is a source of support, so it fits the pattern.

Since the reflection, Eth has returned to the upper border of the channel. At a time when Martinez posted this post, the coin has just carried out a re -test, but since then he has increased its profits and is currently trying to achieve a eternal breaking of resistance.

Over the past two months, Ethereum has made three attempts to break this barrier, so it will turn out whether the last traffic above this line will last. Something that can make the rally be complex to make it more complex for this resource: TD sequential signal.

TD Sequential is a commonly used indicator to locate potential points of reversal of the price of any asset. It includes two phases called configuration and countdown. In the first of them, the indicator counts candles of the same color to nine. After setting these nine candles, it gives the upper or lower signal, depending on the color of the candles.

The countdown begins when the preparation is completed and covers the next round, with the difference that this time it has thirteen candles, not nine. After these thirteen candles, it can be considered that the coin has reached another return.

The latest TD Sequential signal in Ethereum came after nine green candles, which means that from the perspective of the index, an upward trend can achieve a state of exhaustion.

Both in the face of resistance and this signal hanging over the ETH head, the rally may face the challenge. The analyst claims that depending on where the middle line and the lower descending channel lies, “rejection in this case may cause Ethereum to increase to 4,100 USD and even USD 3,780.”

Price ETH

At the time of writing this text, Ethereum is recorded at about $ 4,730, which means an raise of almost 13% compared to the last week.

Chart of price ethereum

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