Foreign Welcome to another update video about Ethereum so ethereum did break out of This descending channel to the upside as I said in the previous video there was No evidence that it had topped yet yeah So in these instances we always need to Expect it could even move higher but There was a good chance to reverse from Here now the fact that it didn't reverse From there really puts some more Emphasis on the scenario that we are in This yellow count and that we have maybe Even seen even though it is unlikely But it's possible yeah that we have Maybe even seen this wave too This is possible you know so then we had Wave one here wave two here and we would Now already be in the third wave If we indeed are in the third wave then Let me zoom in Then we would expect ethereum to really Really show strength today And also to break out of this so-called Bass channel here yeah So the base channel would be a parallel Channel And if ethereum breaks to the upside out Of it even though it's already quite Steep that would would be a really Strong sign that a Wave 3 is unfolding In fact Um If the Wave 3 is currently unfolding
Let's just calculate the Target for it So it would be the 1.618 extension we're Talking here about around about 13 17 Yeah so it's quite strong Um obviously it's also possible that This is still in some way a wave one So we just need to be here on the Lookout but the fact that we are Breaking out of this channel to the Upside shows some strength And it puts in my opinion more emphasis On the yellow count which is not Necessarily well it could be but it is Not necessarily an overall bullish count It is short-term bullish yes and we're Just breaking the 1200. and bear in mind What I've said to you in one of the last Videos if we break above 1200 Impulsively Then um we can consider this yellow Count with more well with more Confidence right so let's actually look At the sub waves here of that yellow Possible wave one Because I'd like just to you to Understand where we are And if we look at the sub waves my view Is that here in this so this was lower Than this one So we have to consider here a small and If you if we go really to the lower Level wave count you you'll see this as A wave one two
Then we have Um here three One second just need to see Now this would be a wave let me come up Three Four And then we moved up in a five So there's a few ways this could either Be counted as a so-called diagonal Pattern or as an Impulse okay so this Would be the five wave move here Oops They're just changing here the wave Degree Just to show you And I'll change the color as well so we Don't mix it up With the other count and make it orange So five waves up yeah this would of Course finish off a possible wave one And then we're looking at a wave two Here And the sub waves can be counted again As a five wave structure which is the Only reason why I'm considering that the Wave 2 could already be in even though It is Let's say unlikely in the in terms of The strength of Um The Wave 2 yeah it was very weak then We've got the sub waves in this way five We've got a one two Three Four and five
Foreign So like that and then we could consider This wave too Is already in right But it's not a given yeah it's not a Guarantee it's no free lunch here right It's um still need to be on the lookout Because the Wave 2 was very short if This indeed was a wave 2. Then we have to draw the fips and we can See that it really not not even touched The 38.2 percent flip level at 1140 that Is for a wave 2 unlikely if we still are In the wave 1 which is entirely possible As well it you know it's all a matter of Interpretation especially on the short Term at the moment so this could also Still be a wave one to the upside Um And you know I can count this Differently and if that is the case if We now come down But it doesn't seem like it we now break Down we would get most likely into this Region between 1141 And 1103 So the target area hasn't changed Massively Um This to me looks like a bullish flag Yeah it looks like a consolidation In a possible way for so we could say Maybe here we had again a wave one two This is a three hero4 and one more like
Up in five and that could then be the First wave of Where is it the third wave okay And you've got your triangle here Bullish pennant LED wave triangle And that could very well break out to The upside If this now fails yeah and we are losing The 1162 level And we break out of the trend line or Channel to the downside that would be a Really good sign that this Wave 2 is Unfolding that it was not Um well that the wave one was in then Probably up here But this looks like wave 3. But let's say the wave one was up here Yeah or even you have an overshooting Wave B but that's very difficult to Suggest So let's say here we had a wave one in Here Um because it's also possible to say Okay this was not the Wave 2 here maybe It was just an a wave we have an Overshooting with b and we come down C So bottom line is of course multiple Interpretations possible But the point is a warning sign that This is coming down is here the break of The trend line yeah and that would not Be bearish Um in fact it just depends on this Support area if this is holding we can
Generally focus on higher I did explain That in yesterday's video Um the next retracement is crucial Absolutely crucial it will be the Determined well it will determine if we Are moving up here in the yellow count Or not the yellow count could take us Into regions around 14 to 1500 dollars Overall I want the 50-minute chart but if I go To the one hour chart you can see we are Now nearly overboard on the one hour Chart Um typically recently when that happened Ethereum Came down yeah I mean this is only the One hour chart Um on the four hour we still have more Space to move up and also the macd is Still in bullish momentum so it would Generally suggest that even though short Term a retracement might be there either Or correction either over time or via Price generally this uptrend is still Possible and supported and we still have Space the macd is still increasing in Bullish momentum and the RSI here on the Four hour chart also and we are above 50 Now which is generally a rather at least Short-term bullish signal So yeah that's my update about ethereum I hope you liked the update if you did Please hit the like button leave a Comment and subscribe and if you really
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