Foreign [Music] Welcome to another update video about Ethereum ethereum has come down Yesterday quite quite strongly after my Last ethereum video but I did talk about What would happen if we break the yellow Support level and I said that I will Most likely have to change my wave count Which I did but unfortunately the Situation is not as clear because we Have reclaimed the support area quite Quickly so you could argue this was not A substantial break of that 1255 support Level So this support range as you will Remember is um was based or was uh yeah Was calculated to be sitting between the 1255 level and the 12 let's say 1270 Level between the 50 flip level and the 38.2 percent flip level of um The Wave 3 That I did have on the chart don't have It on the chart anymore because Um it It's implied that this move here this Consolidation is a way for the depth of The decline however Makes it quite unlikely that it's still A way for given that we have dropped Below the support level therefore I have Changed this wave count from a count Where I'm still expecting one more leg Up to complete it as a wave one I have Um changed it to a one two setup which I
Talked about before if we drop below 1255 I will most likely See it that way the wave count would now Suggest that we have moved from the low Of the 22nd of November to the upside Inner wave one we came down in a wave 2 To 1150 We are now in the wave 3. it's basically Unchanged to before then away four down And away five up but what has changed is Just the internals of this yellow Wave 3 And I now assume that we have now only Now finished a wave one We're now coming down in a wave two and There will be a wave three up four and Five I currently don't think That this entire rally is over Um the reason is that the move up was a Five-way structure and the move down Currently looks corrective and the last Top here looked also corrective in a b Wave three waves therefore the first Assumption has to be that the move down Here is a c wave so ABC a three wave Structure could be either a wave 2 or Away four four away four we're coming Down a little bit too much even though Here As I just told you it's not very very Clear because we haven't dropped really Too much to completely invalidate away Four but we also haven't dropped enough To make a very you know to we haven't
Dropped enough to make it to a wave two Very very likely And we have reclaimed it so Theoretically it could still be a wave Four so it's a bit unclear we just need To wait and see here unfortunately but Luckily it doesn't make a great Difference because in both scenarios I Would still be looking at a wave here a Continuation of the uptrend it's really Only if we break below 1185 which is now The 78.6 FIB level that I am looking at A further continuation to the downside Possibly to a thousand dollars or below So that's the key level All Eyes need to Be on that level I've made an attempt Here to label the subwaves it's not as Easy Um but at the moment we can go with that That we have come down in the C wave in A one two three this could be away four Coming down in five next reason is that This Wave 4 even though it seems quite Strong it only reached the 50 Retracement so it's still a valid wave Four at 1265 it should however not move Above 1265 substantially if it does that Then I would possibly consider that a Low has already been made here Um Currently I'm looking for further Continuation to the downside ideally one More like down into the region around 12 30 to 1185.
Before we recover the reason is as you Can see we From a traditional ta point of view you Could say this was a double top Okay or just an ABC from an elite wave Point of view double top we came down we Broke below the last swing low that is Always a sign that the trend is Shifting Short term So we broke That Swing Low Where's it Here come on okay Let me just take that out again don't Know what happened here so we broke that Swing low and what are we doing now that That low was at around That low was at around 1265. So we came down Recovered obviously broke it and we're Now re-testing it from Below so if you Just let's take this support level out Because we know it's 12 55 so we take it Out but if I you see this line If I move this line to the last swing Low you can see that we came down below It and all we're doing at the moment is We retest it from below that is not a Sign of strength at the moment So it's all about can we break Above This previous swing low again then we Will have a good chance to Rally if However we bounce off it and carry on Down which at the moment is my preferred Option because if we are now in a wave 2
We would ideally like to drop a little Bit lower but hold the 1185 level so we Can drop to 11 12 11 at 12 30 or 1185 But shouldn't drop below it Um so ideally I would like to see one More let down In a c wave that would be ideal Before we recover so yeah again it's all About this level we had a key Pivot Point here key decision point and it Will be an interesting day and also the Weekly candle closes coming up so that Will be very very interesting as well Yeah but that's my update about ethereum I hope you like the update if you did Please hit the like button leave a Comment and subscribe and if you really Like the content then please check out The channel membership thanks a lot for Watching bye [Music] Thank you