After failing to reclaim the important $3k level in February, Ethereum released pressure again and plunged to a key support level. It has seen a major recovery following a bounce back but is now losing steam.
Ethereum has continued to mirror Bitcoin’s weekly movement but has failed to break below its critical $2,100 level, which has been providing support for the past four months.
Respecting this critical level again, it bounced and recovered nicely to where it’s changing hands at around $2,378. The $2,550 level has posted a threat to the buyers in the past hours and is now holding it as resistance. A surge above it could trigger more increases in the coming days.
Although it has formed a double-top pattern on the weekly chart, the price may crash soon. The potential target level for such a crash is $1,650. As soon as the price touches this level, a major bounceback is expected.
The only condition for a bullish move right now is holding the critical support level. If it continues to strengthen, we may see a strong rally above the important $3k level before considering a reversal. While the trend is still in favour of the bears, they appear set for another rally.
ETH’s Key Level To Watch
Source: Tradingview
The potential support levels for selling right now are $2,310 and $2,076. If the price breaks lower, $1,900 and $1,700 are the next support levels to consider for a test.
In case of a reversal, ETH must retake a lot of resistance on the way up. For now, the close resistance level to watch for a test is $2,550 and $2,700. Higher resistance levels to keep in mind are $2,920 and $3,213.
Key Resistance Levels: $2,550, $2,920, $3,213
Key Support Levels: $2,310, $2,076, $1,900
- Spot Price: $2,378
- Trend: Bearish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any service.
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