Ethereum Price Prediction: ETH must hold this crucial support for bullish outlook to $400

  • The 50-day SMA is limiting movement, delaying Ethereum’s anticipated rally to $400.
  • Support at the 100 SMA is key to protecting the bullish outlook.

The smart contract token experienced an incredibly eventful week, starting with a ballistic rise to $395 and ending with a slump to $360. The price action to $400 was invalidated on Monday, opening the Pandora box. Support between $375 and $380 saw ETH take a hiatus from the downtrend. However, the final leg to $360 was triggered by the news regarding OKEx suspending withdrawals on Friday.

Ethereum could save the bullish outlook to $400

At the time of writing, ETH/USD is doddering at $367 after a shallow recovery from the short term support. Immediately above the price, the 50-day Simple Moving Average (SMA) is limiting movement. If this moving average is turned into support, Ether will crank the engines again for the journey to $400.

On the downside, the most important support is the 100-day SMA. Since September, the moving average has resulted in bullish reversals whenever tested. As long Ethereum holds above this zone, gains to $400 are likely to materialize.

ETH/USD price chart

ETH/USD price chart

IntoTheBlock’s IOMAP model reveals a challenging resistance zone ahead of Ethereum, from $369 to $380. Here, roughly 1.2 million addresses previously bought approximately 5.6 million ETH. Flipping this resistance into support is bound to boost Ethereum gradually towards the coveted $400.

On the downside, support is not as strong as the resistance. Therefore, bulls must ensure that the 100 SMA support described earlier is defended at all costs. Nonetheless, the model highlights a wide anchor running from $346 to $368.

Ethereum IOMAP chart

Ethereum IOMAP model

Looking at the other side of the picture

It is worth mentioning that the bullish outlook could end in the drains if the 100 SMA support is shattered. Similarly, the IOMAP shows that support is not as immense as the resistance ahead of Ether. In other words, if bears intensify the selling pressure, ETH may perhaps spiral to retest the primary support at $340.

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.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

Breaking: PayPal enables buying and selling of cryptocurrencies in 2021

PayPal will offer the ability to shop using cryptocurrencies like BTC, ETH, BCH, and LTC starting in early 2021 in more than 26 million merchants around the world. 

More Bitcoin News

ETH on the verge of a massive bull run as whales chose to HODL

Ethereum (ETH) is changing hands at $381. The second-largest digital asset with the current market capitalization of $17.7 billion has gained over 3% in the last 24 hours and stayed mostly unchanged on a week-to-week basis.

More Ethereum News

Is Yearn.Finance decentralized enough to survive without Andre Cronje?

Yearn Finance is a DeFi protocol created by Andre Cronje, a DeFi developer behind quite a number of cryptocurrency projects, including smart contract ecosystem Fantom and iEarn project. 

More News

DOT is at risk of falling 50% if critical support breaks

Polkadot has been trading fairly sideways for the past month after reaching a massive market capitalization of $5.16 billion right after it started tr

More Polkadot News


Bitcoin: BTC ready to escape from the range; bulls have $12,000 in mind

Bitcoin has been gaining ground amid positive fundamental developments. The flagship cryptocurrency is ready to break free from its current range and proceed with the recovery towards $12,000. 

Read the weekly forecast