Chart of the day

Ethereum is opening a new upside cycle and is extending higher in the third wave. It is reaching a strong level which can be seen as a medium-term resistance, 4000. A break above this level could open an upside continuation to 7000 with a following resistance at 5000. Rejection here could lead to a pullback into a new support of 3500.

Only in the case of a break above 4000, we can expect an upside continuation to a new high. A rejection will open a new short-swing trade to test the newly formed support of 3500 and a break below this support will open a deeper pullback to 3000.

_{First of all, try to open a short trade here with a stop loss above 4200. Long trades you can open upon a confirmed break above 4100.}