The Ethereum price has been going through a period of consolidation, characterized by fluctuations that do not yet provide a clear directional bias for market participants. Despite this, the cryptocurrency is facing two critical support levels, the 100-day and 200-day moving averages.
By Shayan
the daily chart
After failing to break above the $2.1K level and experiencing an impulsive bearish leg, the price reached $1.8K and entered a consolidation phase. However, during this stage, ETH has yet to show a clear direction and has printed candlesticks moving up and down.
However, the price is currently facing three crucial levels: the 100-day moving average at $1,748, the 200-day moving average at $1,546 as major support, and the $2.1K price zone as major resistance. Given the bullish sentiment in the market, in the event of another waterfall, the 100 and 200 day moving averages are likely to drive the price up, triggering another move higher.
The 4 hour chart
After falling to the mid-boundary of the channel, the Ethereum price has entered a consolidation range that is clearly evident on the 4-hour time frame. This price action suggests a battle between the bulls and the bears at this crucial price level, where the buying and selling pressure appears to be even.
Despite this, a breakout of the consolidation range would lead to the next stop for Ethereum in the $1,700 range, while a resurgence of bullish dominance over the bears would likely see the price attack the $2,100 resistance region.
By Shayan
The Ethereum price has been on an upward trend since early 2023, with many investors returning to profitability. The Net Unrealized Gain/Loss (NUPL) metric, as shown in the chart, reveals the total amount of gain/loss across all currencies, represented as a ratio.
This ratio can be interpreted as the proportion of investors that are profitable. Values greater than 0 denote investors’ profitability, and an upward trend in value indicates that an increasing number of investors are becoming profitable.
Given the recent uptrend in NUPL, it follows that more investors are making returns, creating bullish sentiment across the market. Although this could signal the start of a new bull market, investors may soon take profit, triggering short-term corrections due to mounting selling pressure.
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