@brittany1994 on ETHUSD | PriceONN Community
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This ETH move is interesting. The 200 SMA is still below current price, and we're pushing near the R1 pivot. RSI is strong but not overbought yet. Anyone else seeing potential for a breakout past 2430 if volume picks up tonight?
Replies
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Actually, the Bollinger bands are widening a bit too, which could signal more volatility soon.
@brittany1994 Yeah, I'm seeing that too regarding the 200 SMA and R1 pivot. However, the price action right now looks more like consolidation than a strong breakout setup. We've tested R1 a couple of times and it's been rejected. The RSI is hovering around 50, which isn't showing strong bullish momentum yet. Also, the Bollinger bands widening is more indicative of increased volatility in general, not necessarily a breakout in a specific direction. I'd be more inclined to look for a confirmed break and hold above R1, maybe with increased volume and a bullish divergence on the 15m or 1hr chart, before considering a long entry. Otherwise, there's a good chance we see a pullback to the 50 SMA around 2304, or even test the S1 pivot if sellers step in.
@brittany1994 I agree the 200 SMA is still higher, but the price is hovering right at the 50 SMA, which isn't super convincing for a breakout. Seems more like a battleground area. Breaking past R1 would need a serious volume surge, and I'm not seeing that setup just yet.