Ethereum has been progressing in its Wave ((5)) higher since printing lows around $81.80 in December 2018 (not seen on the daily chart displayed here). The crypto had carved a larger degree Wave ((2)) around $89.50 in March 2020 and since then has been in control of bulls.
Ethereum has produced a religious uptrend since $89.50 lows I March 2020 and is ideal for Wave ((3)) rally, which still has got room to print and terminate above $2000 mark. The crypto seems to have carved Waves (1) through (4) within larger degree Wave ((3)) as of now.
As seen here, Wave (4) might have terminated around $1295 levels on February 28, 2021. High probability remains that Wave (5) is underway since then, and might rally towards $2200/2300 highs in the coming days.
Ethereum has to stay above $1295 lows to keep the above projected wave structure intact. A drop below $1295 might bring $1100 levels into focus. Also note that Wave (4) might be unfolding as a triangle consolidation before producing thrust Wave (5) rally above $2000 levels.
Either way, watch out for a push above $2000 mark in the next few trading sessions. Once the larger degree Wave ((3)) has terminated above $2000, Ethereum bears might be back in control to produce a corrective Wave ((4)) back towards $1290 levels.
Overall, Ethereum still has enough room to print higher and hence remains a good candidate to be bought on dips. The immediate upside potential remains towards $2200/2300 levels at least before terminating Wave ((3)).
Finacademy Technical Team
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