Ethereum

Ethereum violates critical support, but can it keep this move?

For Ethereum, it was observed earlier this week that the USD 4,050 area is an important level and USD 4,121 could also create resistance. The price actually climbed to meet resistance at $ 4,120 after breaking above the descending trendline.

Bitcoin also looks like it still has some steam left, and could hit the $ 53,000 to $ 54,000 range. It can be very difficult for the cops to get higher in one attempt. For Ethereum, a surge above $ 4000 is encouraging and a retest of the same range should be bought back to reveal more upside opportunities.

Source: ETH / USDT on TradingView

The price broke the $ 4,000 mark, a resistance area from the September high, and then retested. The price has also broken out of a downtrend (in white) since the beginning of December.

The 23.6% Fibonacci retracement level was held as resistance on the first test. Things weren’t entirely in the cops’ favor, however. Trading volume has declined despite the price spike above $ 4000 and a collapse in the downtrend.

The indicators show that the momentum is increasing, but the strong demand is not yet fully realized.

Theoretical basis

Source: ETH / USDT on TradingView

OBV forms a triangle pattern. Movement outside of that triangle is likely to indicate the next direction Ethereum will take, regardless of whether buyers or sellers take control. The RSI has also made higher lows in the past few days and finally broke above the neutral level of 50.

With things stable, ETH price has stayed above significant levels but is still facing resistance at $ 4,121 with $ 4,350- $ 4,450 being another area of ​​supply. The purchase volume must support any further uptrend, otherwise market participants will begin to sneak out the movement.

Inference

The price development tells a bullish story, but the volume is low, possibly due to the Christmas season and people’s unwillingness to take too high a risk. Therefore, further clarification is needed. Bitcoin is also likely to move up slightly, but is facing significant resistance. A rejection and retracement for Bitcoin near the $ 54,000 mark could wipe out much of ETH’s recent gains.

Coincu

Recent Posts

Best Cryptos to Invest in December 2024: Qubetics Surges Past $2.6M as Solana Records Big Whale Pump and Polkadot Aims for $6

Best Cryptos to Invest in December 2024: Qubetics surges past $2.6M, Solana’s whale pump ignites…

13 minutes ago

Bitcoin Trader Turned $100M in His 20s—Now Reveals 5 Altcoins to Build a $50M Portfolio, With Memecoins Leading the Way!

As Bitcoin reaches unprecedented heights and the market surges, he's highlighting five altcoins poised for…

2 hours ago

Which Crypto Will Explode in the 2024-2025 Bull Run?

With the crypto market reaching new peaks, many are eager to discover digital currencies poised…

2 hours ago

Dogecoin and Shiba Inu Approach $1, but All Eyes Are on XYZVerse’s Push to $10!

XYZVerse, blending sports passion with meme energy, is set to make a significant impact, uniting…

2 hours ago

Will Bitcoin Crash or Soar Past $105K in 2024?

Will Bitcoin Crash?" seems to be one of the most controversial questions, as the price…

3 hours ago

The Best Crypto for Passive Income? 10% Weekly Gains and 20% Final Surge—Qubetics Mirrors Cosmos’ Early Success!

There’s always that one coin people wish they hadn’t overlooked. For many, Cosmos ($ATOM) is…

4 hours ago

This website uses cookies.