Ethereum’s price has been undergoing corrections following its rally in the last few months, but the short term outlook is supported by several key levels.
Technical Analysis
By: Edris
The Daily Chart
Examining the daily timeframe, the price has been decreasing for several weeks after failing to reach the $2200 resistance level. The 50-day moving average is currently holding the market around $1900, while $1800 is providing additional support.
If the price bounces back from this area, a rapid rise towards $2200 could occur. Conversely, a breakdown would result in further correction towards the 200-day moving average at around $1600. The RSI continues to oscillate around the 50% mark.
The 4-Hour Chart
On the 4-hour chart, the price appears to be attempting to break out of the range between $1800 and $1900. $1900 is currently being tested once more, and a bullish breakout could pave the way for a surge above $2000.
However, another rejection could initiate a bearish movement towards the $1800 support level and potentially beyond. The RSI indicator is trending above the 50% mark in this timeframe, indicating that the bulls are in control and a bullish breakout is more probable.
