Ethereum Is in a Price Range as Buyers and Sellers Contemplate the Next Move
Ethereum upward move has been stalled below $1,760. The cryptocurrency is now fluctuating between $1,700 support and $1,760 resistance.
The current upward move will resume if the $1,700 support holds. As the biggest altcoin fluctuates in the price range, the price action is characterized by small body candlesticks. The candlesticks indicate that buyers and sellers are undecided about the next direction of price movement.
The advantage is on the side of the bulls as the price is in the bullish trend zone. There is a possibility of a price breakout or price breakdown if the current fluctuations continue. For example, if a breakout occurs at the $1,760 high, the bullish momentum will break the $1,825 high. This will pave the way for price to rally to the targeted price level of $2,000. However, if the upside momentum fails to break the recent high, Ether may be range-bound between $1,700 and $1,825.
Ethereum indicator analysis
Ether price has risen back to the overbought region. This will impede the upward movement of price. Meanwhile, the crypto currency is at level 53 of the Relative Strength Index. This will provide an opportunity for the altcoin to rally on the upside. The SMAs have continued to point northward indicating the uptrend.
Major Resistance Levels – $1,800 and $2,000
Major Support Levels – $1.400 and $1,200
What is the next direction for Ethereum?
Ethereum is likely to resume an upward move if the current support at $1,700 holds. On February 10 uptrend; a retraced candle body tested the 78.6 % Fibonacci retracement level. This retracement indicates that ETH will rise to level 1.272 Fibonacci extensions or a high of $1,932.74. However, the price will reverse and return to 78.6% Fibonacci retracement where it originated. However, the Reversal will not be immediate.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.
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