Share:

Ethereum bulls finally broke above the consolidation pattern on the 4-hour chart last Friday. The rising moving averages support bullish momentum, particularly after the 50-EMA crossed over the 200-EMA. The price also appears to make higher tops and higher bottoms. Currently, the price of this cryptocurrency is fluctuating between the swing resistance of 3045 and the swing support of 2818. The outlook for the price would remain bullish as long as it remains above the EMAs. However, to maintain this uptrend, a clear breakout above 3045 must be seen, which has been a solid resistance level for over a month. Furthermore, this level coincides with the 127.2% Fibonacci extension of the previous downward swing, which makes it a critical level for the Ethereum coin.

Buyers will have more hope of gathering strength to challenge 3045 again if prices bottom higher. Once bulls clear this area, the next hurdle could come from the 161.8% level at 3088. By holding above this barricade, the price will advance to 3151 and 3255, respectively, depending on the intensity of the move.

Nevertheless, short term momentum oscillators do not seem to support the prevailing bullish bias at this point. By making lower tops, both the RSI and the momentum have posted divergences. There is momentum attached to the 100-threshold, pointing down. A declining MACD bar is a sign of fading bullish sentiment, as it shrinks below the signal line.  

Therefore, if sellers take their cues from divergent oscillators to enter the market, the price can fall to meet the 50-EMA. As a result of the failure of the fast EMA, 2818, which coincides with the 200-EMA, may serve as support. Defeat below this hurdle and the broken triangle line may change the outlook to bearish. 

ETHUSD

 


Trading forex and other financial instruments involve a high level of risk and may not be suitable for all investors or traders. Traders must carefully consider their trading objectives, financial situation, risk appetite, and level of experience before stepping into margin trading with Inveslo. There's a risk of losing more than the trader’s initial investment. The higher the leverage, the more the risk, which can go or against you. Traders are advised to be aware of the associated risks.

Join Telegram

Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content


Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended Content

Editors’ Picks

Litecoin price is failing recovery as Whales pull back to December 2020 lows

Litecoin price is failing recovery as Whales pull back to December 2020 lows

Litecoin price was showing some signs of recovery about two weeks ago, but it failed to sustain the bullish momentum, resulting in minor corrections. While broader market cues are to be blamed for this, a lot of the credit goes to the whales, too, whose disappointing performance has impacted the altcoin.

More Litecoin News

Members of US FSC urge SEC Chair Gensler to immediately approve spot Bitcoin ETFs

Members of US FSC urge SEC Chair Gensler to immediately approve spot Bitcoin ETFs

The discourse surrounding the spot Bitcoin Exchange Traded Funds (ETFs) is reaching its pinnacle as key lawmakers are now stepping in to resolve the matter. The Securities and Exchange Commission’s (SEC) staunch repulsion of the ETFs has been called out by the lawmakers, urging the regulator to approve the applications.

More Bitcoin News

Ripple and Coinbase lead the big fight as US crypto firms advocate for regulatory overhaul

Ripple and Coinbase lead the big fight as US crypto firms advocate for regulatory overhaul

Ripple Labs is standing shoulder-to-shoulder with US-based cryptocurrency exchange Coinbase as crypto firms in the US push for a regulatory overhaul in the country. It comes amid growing concerns that stringent and unclear regulatory structures in the US continue to drive business away from the country.

More Ripple News

Ethereum Restaking - The next big thing after liquid staking?

Ethereum Restaking - The next big thing after liquid staking?

Ethereum introduced unstaking this year, and the crypto market witnessed a stark shift. The Decentralized Finance (DeFi) space, in particular, observed the emergence of liquid staking protocols. With the discourse of “restaking” picking up heat, it seems like the market is getting ready for the next big thing.

More Ethereum News

Bitcoin: BTC downside likely after 20-week EMA culls bulls

Bitcoin: BTC downside likely after 20-week EMA culls bulls

Bitcoin (BTC) bearish price fractal, as discussed in a previous article, is underway, but the lack of volatility is causing ambiguity and doubt. Regardless, BTC might see a bit of an upside before the long-term bearish scenario plays out.

Read full analysis

BTC

ETH

XRP