The Ethereum rallied aggressively in the last hours and is almost to reach a crucial resistance line. It has resumed the last day’s minor rebound and seems determined to really start an important upside movement. Price is still trapped below some important resistance levels, but a valid breakout will confirm a significant movement.

Ether has shown some oversold signs, it has lost the bearish momentum and now may increase again. I’ve said in the last 2,3 months that I still believe that the major crypto will bounce back and will approach and reach the historical highs. Personally, I’m still confident that we’ll see a larger upside movement on all major crypto in the second part of the year.

The next leg higher will be a slower one compared to the 2017 rally, but we may get a significant return if we’ll get in after the confirmation that it will really move up again.

The rate could hit the major downtrend line in the upcoming hours and a valid breakout will signal a further increase. Resistance can be found at the 496.27 as well, actually, the rate could be attracted by the confluence area formed between the downtrend line with the 496 static resistance. A valid breakout through the confluence area will accelerate the upside movement.

However, a false breakout or a rejection from the mentioned resistance levels will send the rate down again, which will reach fresh new lows again. Personally, I’ll wait for a valid breakout above the major downtrend line before I’ll go long on this crypto again. We had a significant upside movement today, but a larger rebound needs confirmation, that’s why is not advised to go long only because we had an impressive rally today.