VOT Research Desk
Since forming a buy signal on November 22, the Ethereum price has not looked back. This trend reversal has resulted in a 15% upswing, allowing ETH to sweep buy-stop liquidity above $1,290.
There is no need to be concerned about the current retracement. In fact, as long as the price of Ethereum remains over $1,195, interested investors should try to buy the dip.
In this instance, a consolidation followed by a surge in purchasing pressure might send ETH to $1,350 highs.
This surge may exhaust the positive momentum, but Ethereum’s price should be able to reach the psychological milestone of $1,400. Traders should consider taking partial profits and calling it a day at this level.
If the price of Ethereum falls below the November 28 swing low of $1,151, a lower low will be formed, invalidating the bullish thesis for the smart-contract coin.
This might cause ETH to fall by 7% and retest the $1,073 support level.
