Ethereum continued to remain upward despite rejecting a key monthly resistance. The price has failed to drop and now appears to be gearing up for another increase.
After surging through many resistance levels in the past month, Ethereum underwent a small correction and bounced back to mark a new level at $1,715. A sharp sell from that level put the price at a low of $1605 yesterday.
It reacted to that low earlier today and started to increase on the hourly time frame. The asset now trades at $1,642. This reaction was due to Bitcoin’s recovery above the $23k mark level today.
Some altcoins have also posted small gains. ETH may advance higher if BTC can hold that price level. The current market structure looks dicey as Ethereum still struggles under a critical resistance level of $1.7k for days.
Similarly, it has held the $1.5k level as support over the past weeks and has established subsequent ones above that level. If the price drops below the small support trend line on the daily chart, it will look for a lower level of rebound at the big support trend line.
In a bid to sustain the short-term bullish, it would need to surpass the critical resistance level mentioned above. The price is up by 4% in a week.
Ethereum Key Level To Watch
The presence of bears in the past five days is not strong enough to take control of the market. Although, there is still a chance for a drop to at least $1,570. However, the confirmation level for a breakdown lies at $1.5k before we can see further loss to $1,403 and $1,350 on the two-month support line.
In case of more recovery, the $1,678 and $1,715 levels are the next area of resistance to keep in mind. The buy target to watch above those levels is $1,788 and $1,950.
Key Resistance Levels: $1,678, $1,788, $1,950
Key Support Levels: $1,500, $1,403, $1,350
- Spot Price: $1,640
- Trend: Neutral-Bullish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
Image Source: promesaartstudio/123RF // Image Effects by Colorcinch