Share:
  • Ethereum price action is close to completing one of the strongest bullish breakout signals since October 2021. 
  • New expansion phase for ETH is likely to be confirmed today. 
  • Downside risks remain a concern, but the size and scope of any drop have been reduced by wide margins. 

Ethereum price action continues to be bullish with strong buying pressure pushing ETH close to yesterday’s high. More importantly, however, is Ethereum’s proximity to completing an extremely bullish breakout signal in the Ichimoku Kinko Hyo system. 

Ethereum price set to test $3,300 and then $4,500

Ethereum price action, during the intraday session, has completed all criteria for an Ideal Bullish Ichimoku Breakout. However, the daily close is what’s most important and required. To confirm an Ideal Bullish Ichimoku breakout, ETH needs to close at or above $2,985. 

If bulls can close Ethereum price above the daily Ichimoku Cloud, it will be the first confirmed Ideal Bullish Ichimoku Breakout since October 13, 2021. The entry back in October 2021 resulted in Ethereum moving nearly 35% higher to a new all-time high of $4,864 from the breakout close of $3,607. 

ETH/USD Daily Ichimoku Kinko Hyo Chart

The first resistance zone that Ethereum price will contend with, pending a close above the Ichimoku Cloud, will be the 38.2% Fibonacci retracement at $3,300. Following that level is the weekly Kijun-Sen and 100% Fibonacci expansion, both at $3,500. If bulls can breach $3,500, then it is mostly clear and open until the 161.8% Fibonacci expansion at $4,550.

ETH/USD Weekly Ichimoku Kinko Hyo Chart

However, downside risks should not be ignored. The most important price level that Ethereum price needs to surpass is a weekly candlestick close above $3,044 - where the top of the weekly Ichimoku Cloud (Senkou Span A) exists. Failure to close above Senkou Span A could mean a fake-out move higher, giving bears a strong incentive to resume selling pressure on Ethereum. 

 

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

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

Bitcoin likely to remain in red through the next quarter if history is any indication

Bitcoin likely to remain in red through the next quarter if history is any indication

Bitcoin (BTC) price produced a monthly close at $27,210, noting a -6.92% return for May. The last-minute slide in BTC put an end to the four-month bullish streak that kickstarted the 2023 rally.

More Bitcoin News

Ethereum vs. SEC: Implications of Wahis’ insider trading settlement on ETH

Ethereum vs. SEC: Implications of Wahis’ insider trading settlement on ETH

Ethereum (ETH) is the subject of a new controversy, with the second-largest crypto finding itself in the rut after the United States Securities and Exchange Commission (SEC) settled its insider trading case against the Wahi brothers.

More Ethereum News

Justin Sun’s TRON hits all-time high of 10.9M daily transactions, braving crypto winter

Justin Sun’s TRON hits all-time high of 10.9M daily transactions, braving crypto winter

Justin Sun, the founder of TRON – one of the largest decentralized blockchain DAO ecosystems in crypto – shared a new milestone for the token on Thursday. TRON processed 10.9 million in daily transactions, hitting a record high.

More Cryptocurrencies News

Ethereum fees decline by 70% from 2023 highs as top DeFi protocols lose users

Ethereum fees decline by 70% from 2023 highs as top DeFi protocols lose users

Ethereum is currently facing trouble in the spot market due to the broader market bearishness as well as investors' skepticism. But while the spot market only recently took a turn for the worse, the DeFi space has been only negative for a long time.

More Cryptocurrencies News

Bitcoin: BTC delays inevitable crash to $25,000

Bitcoin: BTC delays inevitable crash to $25,000

Bitcoin price is delaying a crash that has been brewing for roughly two weeks. A failure to push higher could result in a steep correction next week. The troubling macroeconomic conditions could be key in catalyzing and trigger a nosedive for BTC holders.

Read full analysis

BTC

ETH

XRP