Ethereum is exhibiting signs of strength, but this bullish outlook is exclusively visible on an inverted chart. On conventional charts, the current downtrend remains in effect until key resistance levels are reclaimed, rendering current optimism conditional.
Analyst Mizer presented an inverted chart, indicating a short position on Ethereum and outlining potential higher time frame (HTF) movements. While acknowledging the difficulty in forecasting HTF trends in the current macro environment, Mizer focuses on lower time frame (LTF) opportunities.
Mizer stated that Ethereum's HTF structure shows a clear pattern: a distribution phase followed by consistent breakdowns since its peak around $5,000. A parabolic curve formed from this top has been respected for months, and the broader downtrend will persist until this parabola is decisively broken with sustained price action above it.
Examining current price action, Mizer highlighted a strong impulse move into a significant support/resistance flip zone on the inverted chart. This area, previously resistance, is now acting as support. Mizer is closely monitoring the current consolidation phase that followed this impulse.
Two primary scenarios are emerging from this consolidation: either a continuation after a minor pullback or a brief false breakdown followed by a quick reclaim, which on the inverted chart would indicate further downside for ETH itself.
Mizer described a specific path on his chart as the "ideal" bullish scenario within the inverted structure, tracking price as it continues to respect the long-standing parabolic curve. As long as this parabola remains intact, the prevailing bearish trajectory is his base case.
Short-term targets for profit-taking and observation are set around $1,700, a logical point for potential reactions that could challenge or break the parabolic resistance. A longer-term target is near $1,400, representing a larger extension if momentum fully develops. However, this setup would be invalidated if ETH falls below the key flip zone, breaking the parabola and signaling a potential broader trend reversal.
ETH was trading at $1,965 on the 1D chart.