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Ethereum price holds 40% gains as bulls keep the steep trend alive

  • Ethereum price came very close this week to hit the $5,000 valuation marker.
  • ETH price is starting to fall in the overbought area of the RSI as bulls keep buying on occasions. 
  • With the growing media attention, expect EHT to see continued support on the buy-side.

Ethereum (ETH) is becoming a bit of an outlier in cryptocurrencies as most of the pairs are taking a breather these past few days after a strong bull run. ETH price is an exception as price remains elevated, helped by tailwinds of growing media attention and growing interest from the broader public. Even the Relative Strength Index (RSI) that is flirting with overbought does not seem to bother investors at this moment, with ETH price targeting $6,500 on the monthly R3 resistance level.

Ethereum price steps out of the shadow of Bitcoin as it overtakes media attention

Ethereum price has been on a solid and steady uptrend since September after ETH price bounced off the 200-day Simple Moving Average (SMA) around $2,695. Since then, an ascending trend line has been keeping ETH price on track towards $5,000. But even if the trend line would break, Ethereum price holds several support levels, each time quite close to each other, that would keep ETH price from a nosedive correction. 

ETH price saw the buy-side volume exploding in the recent weeks with more extensive media attention, bringing more support from the broader public that is looking to pick up some Ethereum coins for their investments and trades. The best example is the entry at $4,060. In the last week of October, the price shot through that level, breaking the double top from September, only for ETH price to come down and test the level for support before rocketing further upwards.

ETH/USD weekly chart

ETH/USD weekly chart

Expect for ETH price that the green ascending trend line will keep holding its importance, and in case not, expect the level at $4,060 to do the trick again. What will be critical to see next week is that bulls can push price-action back up again and break that $5,000 marker so that newcomers in the uptrend don’t start to withdraw too quickly and might cause a too big correction to recover from without making new all-time highs. If that were the case, the tailwind of media attention would turn into a headwind and push ETH price towards $3,018.



 

Author

Filip Lagaart

Filip Lagaart is a former sales/trader with over 15 years of financial markets expertise under its belt.

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