Cryptocurrencies are recovering from a recent pullback today. Gains range from +1.4% in case of BITCOINCASH to +7.0% in case of BINANCECOIN. Bigger and more popular cryptocurrencies, like Bitcoin or Ethereum, also gain with the former approaching $44,000 and the latter breaking above $3,000. While the recovery move started yesterday in the evening, rally accelerated this morning after reports on potential Russia-Ukraine de-escalation with Russian troops returning to bases.
Taking a look at the ETHEREUM chart, we can see that the cryptocurrency managed to break above the downward channel in which it traded since mid-December 2021. A retest of the upper limit of the channel later took place, which resulted in a potential inverse head and shoulders pattern surfacing on H4 interval. Where price manages to break above the neckline of the pattern or not will be crucial for future moves. A textbook range of the pattern was marked with a green box on the chart. On the other hand, a drop back into the range of the channel would invalidate the bullish scenario.
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app
Source: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
