Ethereum price shows an impressive recovery rally, but is the sell-off over?
|- Ethereum price recovers 7% of losses accrued over the weekend.
- An influx of volume is occurring on intra-hour timeframes.
- Invalidation of the broader bearish thesis is a breach above $1,810.
Ethereum price retaliates against the bearish onslaught that occurred late last week.
Ethereum price fights back
Ethereum price shows commendable retaliation after last week's last-minute mudslide. Since August 26, the decentralized smart contract token fell 16% to a low of $1,420. As the opening New York bell rang on Monday, August 29, the bulls stepped back in with considerable force, inducing a volatile price hike.
Ethereum price currently trades at $1,526. The 7% bullrun kicked off during August's final days is accompanied by an influx of volume on intra-hour time frames. Speculation persists as the upcoming Merge in September could significantly impact the smart contract token's price.
ETH/USD 2-hour chart
Nonetheless, the bulls might need more gains before qualifying the steep downtrend as over. The bearish thesis from last week still targets $1,300. The recently breached 8- and 21-day simple moving averages hover above the ETH price near $1,588 and $1,788. Price action near these levels will be vital in measuring the bulls’ strength.
For now, an invalidation of the bearish outlook can occur if the bulls can conquer $1,810. Doing so could induce the next rally targeting $2,200, resulting in a 40% increase from the current Ethereum price.
In the following video, our analysts deep dive into the price action of Ethereum, analyzing key levels of interest in the market - FXStreet Team
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