ethereum price has recently recovered and is currently testing a key area.
In case the bullish momentum continues, the price is likely to head towards the $2,000 resistance zone in the near future.
Technical analysis
By Edris
The daily chart
On the daily chart, the $1,550 support level has once again supported the price, preventing it from falling towards the $1,400 area. The 50-day moving average is currently testing around $1,600.
If eth breaks the $1,750 resistance level and the 200-day moving average located near the $1,800 mark are the likely next targets.
The RSI indicator has also crossed the 50% threshold, indicating that momentum is once again favoring buyers.
The 4 hour chart
Looking at the 4-hour chart, it is evident that the price has been consolidating between the $1,550 and $1,750 levels for the past few months. However, the market has recovered once again from the $1,550 level recently and is currently testing the $1,600 resistance zone.
A bullish breakout from this area would pave the way for a further rally towards $1,750 in the coming weeks. However, investors should keep an eye on the RSI indicator as it is entering the overbought region again, which could result in a rejection from the $1,600 zone.
Chain analysis
By Edris
ethereum price has recently shown bullish momentum after months of consolidation and gradual decline. This AP has left investors wondering if a new bullish phase is coming or if lower prices are still expected.
This chart shows the 100-day moving average of the buyer’s bid-sell ratio metric, one of the most valuable futures market sentiment indicators. Takers are orders executed aggressively at market price and are the ones who move the price. Buyer put ratio values below 1 show bearish sentiment, while values above 1 are considered bullish.
As the chart demonstrates, this metric has recently increased but is still below 1. If this increase in the bid-ask ratio continues and the metric rises above 1, a further price rally could be expected and the market could finally surpass level 1. $2,000 resistance level. However, if the metric does not exceed 1, things are unlikely to change and the price could fall further in the short term.
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Cryptocurrency charts by TradingView.
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