Ethereum
ETH Facing Huge Resistance, Is Major Correction Inbound Before $2K? (Ethereum Price Analysis)
After several attempts, the bulls finally pushed the price above the 100-day moving average line. However, Ethereum is still struggling to break above the major resistance area between the $1,700 – $1,800 range.
Technical Analysis
Technical Analysis By Grizzly
The Daily Chart
Support and resistance levels have appeared on the chart in the daily timeframe using the Fibonacci retracement tool, extending from the all-time high to the last realized bottom at $880 recorded in June.
As can be seen, the bulls quickly broke above the first resistance, which was at the 0.236 Fib level (in blue) around $1300. Yet, it seems that the 0.382 Fib level (in yellow) has become a direct obstacle for the bulls. Historically, this level has played an important role: In the rally of 2021, the ETH price got stuck below it for three weeks.
Looking over the next short-term, there are two possible scenarios:
First and foremost, ETH breaks and closes above the $1800 mark and targets the next significant levels around $1,900-$2,000. There, it will turn into a bull-trap – long liquidations and back down for a retest of the critical level at $1,300.
In the second scenario, ETH breaks $1800 and cracks above the horizontal resistance at $2160 (in white), and moves towards the red-marked descending line, which overlaps with the 0.618 Fib level (in green). There, it’s expected that ETH will get a rejection on its first attempt. In this scenario, since the 200-day moving average is reclaimed, we can definitely state that the bulls had regained market control.
Key Support Levels: $1500 & $1350
Key Resistance Levels: $1800 & $2160
Daily Moving Averages:
MA20: $1614
MA50: $1349
MA100: $1656
MA200: $2280
The ETH/BTC Chart
Against Bitcoin, as expected, the bulls were able to pull the price towards the descending line resistance (in yellow).
Since the bearish divergence (in red) has been witnessed by the RSI indicator, it is expected that the bulls will rest around this area.
From below, it should be noted that the bulls must defend the horizontal level at 0.07 BTC, while there’s potential that the bears can dominate the market by forming a lower low. If the 0.07 BTC level breaks down, ETH is expected to extend towards the next support at 0.065 BTC (in green).
Key Support Levels: 0.07 & 0.065 BTC
Key Resistance Levels: 0.075 & 0.08 BTC
On-chain Analysis
Exchange Netflow: Definition: The difference between coins flowing in and out of the exchange. Inflow – Outflow = Netflow.
A positive value indicates that the reserve is increasing.
The price has reached a solid resistance from a technical point of view, so investors are currently looking at Ethereum with more skepticism and caution. Furthermore, this has resulted in the metric not changing much. If this resistance gets broken, Ethereum will be withdrawn from the exchange, and the histogram bars will turn red.
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Cryptocurrency charts by TradingView.
Ethereum
Ethereum Foundation Sets Up Multisig Wallet for Defi Participation
Ethereum
Ethereum Price Analysis: This Support Is Crucial for Ethereum to Reach $4K
Ethereum is grappling with a decisive support range between the 100-day MA ($3.2K) and the 200-day MA ($3K), a critical region serving as the buyers’ last line of defense.
The outcome at this level is expected to shape Ethereum’s mid-term trajectory.
Technical Analysis
By Shayan
The Daily Chart
ETH recently encountered heightened volatility as it approached the significant $3.2K-$3K price range, reflecting an intense battle between buyers and sellers. The price action highlights sellers’ attempts to push the asset below these key moving averages, signaling a potential bearish breakdown.
Currently, Ethereum is finding temporary support within this range, with the price confined between the $3.2K level and the bullish flag’s upper boundary. A decisive breakout in either direction is likely to determine the next major trend for Ethereum.
The 4-Hour Chart
On the 4-hour chart, Ethereum consolidated near the 0.5 ($3.2K) and 0.618 ($3K) Fibonacci retracement levels before briefly breaking below this critical support zone. However, strong buying interest quickly drove the asset back above the $3.2K mark.
This region remains pivotal as it represents the final primary support zone for buyers. A sustained hold above the $3.2K level could reignite bullish momentum, targeting a recovery toward higher resistance lines.
Conversely, a breakdown below this range could trigger liquidations, potentially driving the price toward the $2.5K support zone. For now, Ethereum is consolidating near this critical region, with a battle between buyers and sellers dictating the market’s next move.
Onchain Analysis
By Shayan
The Binance liquidation heatmap provides insights into key levels where significant liquidation events are likely. Based on the clustering of liquidation levels for long and short positions, these levels often act as magnets, driving price action toward them as market participants aim to capture liquidity.
During the recent shake-off, Ethereum grabbed liquidity at the $3K mark, resulting in a sharp price recovery. A notable cluster of wrecked levels still exists just below the critical $3K support, representing long-position liquidations. This makes the $3K area highly attractive to bears and institutional sellers, increasing the probability of a bearish breakout toward these levels in the mid-term.
However, a significant liquidity pool also rests at the $4K threshold, marking a potential ultimate target for buyers. However, it is likely that the price may grab liquidity below $3K first, creating a shakeout phase before resuming a bullish trajectory toward $4K. While Ethereum’s current price action reflects consolidation, the $3K level remains pivotal. A bearish breakout to capture liquidity below $3K is plausible in the short-to-mid term.
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Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.
Cryptocurrency charts by TradingView.
Ethereum
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