The crypto market is rebounding slightly today. Altcoins, including Ethereum (ETH), are also doing good business. The ETH price is again trading well above the $2,000 limit. But confirmation of a definitive outbreak remains pending.
Technical analyst Erik Juffermans tells us what we can expect now.
ETH is going to make another attempt
The daily chart shows that the Ethereum price has been trading in a clear channel between approximately $1,800 and $2,100 since the beginning of February. For a breakout to the upside, bulls want to see a convincing breakout and confirmation of the $2,100 level.
The price is currently still trading slightly below this level. But the price is doing good business. The center of the channel has been confirmed as support in recent days and the price is now on its way back to the upside.
That’s where the real test awaits. Last month, the $2,100 level proved to be strong resistance.
Strong weekly momentum
The price is also on a strong weekly candle. If held, this would be the first convincing green candle in weeks. A weekly break of $2,100 could open the way to the resistance zone between $2,700 and $2,800.
It can also be seen that the upward resistance line has provided support over the past month. This strengthens the scenario of a possible bottom in the current zone. However, losing this diagonal uptrend line would be a very bearish signal.
But we still have to wait for confirmation. The price also depends on the price of Bitcoin (BTC). If BTC loses the $70,000 level again, it will also be very difficult for ETH to maintain the momentum. In this article you can read which level Bitcoin needs to break in order to continue its relief rally.
Source: https://newsbit.nl/newsbit-analist-dit-niveau-bepaalt-of-ethereum-verder-kan-stijgen/
