ETH/USD: Ethereum Enters Overbought Zone. Is it a Good Time to Sell?

Ethereum has formed an ascending triangle pattern which usually signals a bullish trend, but at this point, the market is standing in the...


Recently, the cryptocurrencies took a bullish turn while the other financial markets were closed. So, we can’t confirm whether the bullish trend is just a retracement or a reversal. However, in that tug of war, we spotted a trade setup which may turn into an opportunity for us.

Ethereum has formed an ascending triangle pattern which usually signals a bullish trend, but at this point, the market is standing in the overbought zone. The double top pattern is providing a solid resistance at $163 level. The ETH/USD pair has closed a doji and shooting star candles below the resistance level and we may see sellers entering the market.

The secondmost famous crypto pair may drop below the $163 level to complete the retracement near $150 and $147. So, we have also entered the sell position at $156 with a stop loss above $160 and take profit at $149.

Let’s see how it goes.

All the best!

ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

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