Ethereum stays slightly above $1000 in the last 24 hours amid a bearish dominant move. Will price rally $1200 before the dip continues or the bullish trend will be consolidated and price breaks upside? 25-27 January Ethereum price prediction looks at ETHUSD price forecast.
25 January, AtoZForex Ethereum was doing very well till the second half of the month. A strong rally to $1480 made ETH one of the biggest performers in the first two weeks of the year. This happened until price dropped 45% in 5 days to close around $650 on 17th January. Similar scenarios happened across the Cryptocurrency market as general market cap dropped a huge 30% in about a week.
Since the huge price dip in almost all the coins, Ethereum is recovering better than many. A 3-day 48% recovery from 17-20 January (first recovery leg) was among the biggest. Nearly 21% of the gain was eroded in the next 3 days (20-23 January) to complete the second recovery leg. From 23rd till now, price made a way up by nearly 22% for probably the third recovery leg. According the Elliott wave theory, recoveries sometimes happen in 3 legs/swings also called waves just as being seen in ETHUSD.
In the last update, the chart below was used.
The chart above shows the drop from $1430 to $750 and the rally that follows to $1170. The pattern developing looks like a double zigzag pattern where wave (c) is about to complete. The bearish move could extend to $500-$600 before the bullish trend resumes.
In the chart above used in the last update, it was clear that ETHUSD is in a bearish corrective mood. A 3-wave dip to $500 was possible. Afterward, wave b is now emerging into something more complex, thus a need for an alternative view. Since price has not broken above $1170, the view above is still valid. What if price breaks above, which now looks more likely than before? The chart below gives a useful clue.
25-27 January Ethereum price prediction
A 3-wave rally to $1300 is very possible if the 3rd leg (wave c) breaks above $1170 top. A dip could still happen afterward. If $1170 holds and price resumes downside, the last update will still stand and price could complete a wave (c) impulse wave at $500.
Do you have other views in contrast to the ones listed or you want to compliment them further? let’s know by your comment below.
Don’t forget to share this analysis with people that matter to you.