Bearish divergence in ETH/USD

ETH/USD remains in a bullish trend making higher highs and higher lows. As long as price is above $1,049 trend will remain bullish. However there is a warning sign that bulls should not ignore. The RSI does not follow price. The RSI is making lower highs. This is a bearish divergence.

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Red lines - bearish RSI divergence

ETH/USD is showing signs of a weakening up trend. The bearish divergence is a warning sign to bulls. Not a reversal sign. However it should be taken under serious consideration. Recent low at $1,208 is important short-term support. Breaking below it could lead to a bigger break down. Upside target is at $1,526 as long as the short-term support is respected.


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Alexandros Yfantis
Analytical expert
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