As a seasoned researcher with years of experience navigating the cryptocurrency markets, I find myself intrigued by Ethereum’s recent performance. The surge near the crucial $2.1K support zone and the subsequent bullish retracement have caught my attention, hinting at a potential shift in market sentiment.
Lately, Ethereum has witnessed an increase in interest around the important $2,100 support level, leading to a strong bullish bounce back. Currently, the price has regained the midpoint of the long-term downward trending channel, indicating a possible continuation of growth towards the upper limit close to $3,000.
Technical Analysis
By Shayan
The Daily Chart
Daily analysis indicates that Ethereum has been encountering growing buying interest close to a crucial support area, roughly corresponding to the bottom line of its long-term downward channel, and coinciding with the $2.1K support level.
The surge in interest caused a flip in trend towards optimism, propelling the price past a crucial barrier that encompasses the midpoint of the channel at around $2,530 and the round figure $2,500. Regaining this region suggests a possible change in market attitude, leaning more towards bullishness, albeit temporarily.
On the other hand, Ethereum is nearing a significant hurdle at roughly $2.8K, where sellers might become more active. The outcome at this point will be crucial in predicting Ethereum’s medium-term trajectory. If Ethereum manages to surpass this barrier, it could suggest the bullish trend is continuing. Conversely, if Ethereum fails to overcome this resistance, there may be increased selling pressure.
The 4-Hour Chart
On the 4-hour timeframe, Ethereum experienced a powerful uptrend originating from the $2.1K support level, which coincided with the lower edge of the flag formation.
As a crypto investor, I’ve noticed an encouraging surge in prices, propelling them towards the significant resistance zone between $2.6K and $2.8K, which aligns with the 0.5 and 0.618 Fibonacci levels respectively. The recent market dynamics indicate a decrease in bearish pressure, as traders are now vigorously attempting to break through the $2.8K resistance barrier.
In recent times, the $2,800 mark has served as a significant resistance level for the bulls, teeming with supply and strong selling activity. Yet, if the current positive trend continues, Ethereum may breach this barrier, triggering a short-squeeze and potential additional advancements.
Alternatively, if there’s a refusal at this important resistance level, it could lead to more sideways movement inside the flag shape, prolonging temporary ambiguity in the short term.
Onchain Analysis
By Shayan
As Ethereum’s price climbs higher and shows signs of reaching $2,800, data from Binance‘s liquidation map offers helpful context for this trend. The ETH/USDT liquidity map points out large pools of liquidity that are frequently targeted by major market players or those known as “smart money.
Based on the heatmap analysis, the $2,800 region boasts the most liquidity in relation to Ethereum’s current pricing. Liquidity often functions like a magnet for price fluctuations, attracting the market towards these clusters. Therefore, this area now serves as a significant short-term goal for Ethereum’s price movement.
In light of the current market situation, it’s highly probable that Ethereum will continue its bullish run towards approximately $2,800. This is due to the market’s inclination to concentrate around high-liquidity zones. Therefore, the price range around $2,800 becomes a significant area to focus on, as a possible breakout beyond this level might suggest the continuation of Ethereum’s ongoing upward momentum.
Read More
- W PREDICTION. W cryptocurrency
- AAVE PREDICTION. AAVE cryptocurrency
- PENDLE PREDICTION. PENDLE cryptocurrency
- ZETA PREDICTION. ZETA cryptocurrency
- FutureNet Co-Founder Roman Ziemian Arrested in Montenegro Over $21M Theft
- AEVO PREDICTION. AEVO cryptocurrency
- BRISE PREDICTION. BRISE cryptocurrency
- GBP CAD PREDICTION
- WOO PREDICTION. WOO cryptocurrency
- WELT PREDICTION. WELT cryptocurrency
2024-09-23 15:34