- ETH price is breaking higher once again, eyes fresh lifetime highs.
- A bull flag confirmation on the 4H chart calls for a fresh rally.
- RSI points south while above 50.00, keeping the upside intact.
Ethereum, the no.2 widely traded cryptocurrency, is picking up fresh bids above $4300, reversing a temporary reversal seen on Saturday.
ETH price saw a brief correction from all-time highs of $4462 a day before, although the bulls are back in the game amid the ongoing optimism surrounding the Ethereum 2.0 Altair Beacon Chain update, which was done successfully with 98.7% of nodes upgraded as of early Friday.
At the press time, ETH/USD is trading virtually unchanged on the day, defending the $4300 mark, having recorded a fifth straight weekly advance.
Ethereum price eyes additional upside, with a bull flag in play
Ethereum’s four-hour chart shows that the price has broken to the upside from a bull flag formation.
The recent rally that kicked in on Friday followed by the pullback carved out the bullish continuation pattern on the said time frame.
A four-hourly candlestick closing above the falling trendline resistance at $4337 yielded the upside breakout, opening doors for an explosive rally towards the pattern target of $4910.
However, ETH bulls will need to clear the all-time highs of $4462 first to unleash the additional upside.
The next relevant topside barrier is aligned at the $4600 round figure.
The Relative Strength Index (RSI) has eased from higher levels but remains well within the bullish zone, keeping ETH buyers cheerful.
ETH/USD: Four-hour chart
Should the corrective downside gather steam in the upcoming sessions, then the pattern resistance now support at $4321 will cave in on a sustained basis.
ETH bears will then aim for the upward-pointing 21-Simple Moving Average (SMA) at $4273 if the selling pressure intensifies.
The last line of defense for ETH bulls is the falling trendline (pattern) support at $4220. Acceptance below the latter will invalidate the bull flat formation, triggering a fresh downtrend in ETH price.
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.