- Ethereum price is keeping investors on edge before the promised rally.
- ETH price consolidates with lower highs and higher lows, pointing to a possible drop to $2,278.42 before swinging back to $2,682.70.
- Expect to see that drop today with a double bottom strong enough to form a bullish border.
Ethereum (ETH) price is still set to rebound roughly 22% and erase the incurred losses from the past few trading days. But price action this morning during the ASIA PAC and European session is consolidating, with lower highs, and higher lows as bears and bulls are squeezed towards each other. Expect to see a pop higher with a bullish breakout either straight away after the consolidation or after a small drop and bounce off $2,278.42 with the double technical bottom in place.
ETH price underpinned by double technical floor
Ethereum price is keeping investors and bulls on edge after a full technical reversal of the incurred losses stalled in Tuesday's US trading session. Today, it looks like ETH price is under consolidation, with lower highs and higher lows pointing to bulls and bears being pushed together. Usually, this will result in a breakout trade, expected to the upside, as the Relative Strength Index (RSI) cannot get away from being oversold, which means that sellers have no decent room to the downside to make gains.
ETH price is thus on the cusp of popping higher, which could be via a breakout trade out of the consolidation that runs higher towards $2,685.70 or $2,695.79. Another scenario to keep in mind is a small drop to the downside to test the double floor, with the monthly S2 and the historic pivotal level at $2,278.42. A test and bounce off that level would see price action ramp back up towards $2,695.70, just shy of that $2,700 marker.
ETH/USD daily chart
Not only Ethereum price is consolidating, but the eurodollar as well with a fourth trading day of lower highs and higher lows. Here a break to the downside would reflect more dollar strength that would weigh on Ethereum price, which is valued in dollars. ETH price would drop below $2,278.42 and submerge below $2,000 towards $1,928.89, which is the first notable level on the way down.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Vitalik Buterin slams controversial gambling project ZKasino following scam allegations
Ethereum founder Vitalik Buterin took to Warpcaster, a new type of social network, to condemn ZKasino, a decentralized gambling platform based on Layer 2 Ethereum protocol zkSync.
Starknet jumps 2% after notice inviting specific groups to claim STRK airdrop
Starknet Foundation addressed the groups within the STRK community that were unable to receive the token’s airdrop during the first round. The Layer 2 chain organized an airdrop event in February.
XRP price capped at $0.55 despite retail holdings nearing all-time highs
Ripple price (XRP) failed to break resistance at $0.55 early Wednesday as traders continue to digest Ripple’s recent response to the Securities and Exchange Commission’s (SEC) allegations of illegally selling XRP as a security.
Binance founder Changpeng Zhao could face three-year jail time
US prosecutors are requesting Binance founder and former CEO Changpeng Zhao (CZ) to serve a three-year jail time, according to a Reuters report published Wednesday.
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?