ETH Needs to Break This Level to Initiate a Sustained Rally (Ethereum Price Analysis)

Ethereum gained 25% over the last few days, and appears to be one step closer to breaking the line that has followed it since November 2021 when its all-time high reached.

Technical Analysis

By Grizzly

The Daily Chart

The daily chart has identified Ethereum as an obstacle. The convergence of two horizontal resistance lines at $1,800 (in orange and yellow) has created a significant resistance zone.

The bulls failed to make a break for it on August 14. The price has fallen to $1,420 since then. Bulls now have an opportunity to test the resistance zone after the recent rise.

The market is dominating bullish sentiment in the days before the Merge. This will increase if the bulls are able to reclaim $2K. Failure to break this level could also end the hopes of a rally. The $1,400 area is the first place to find solid support if this happens.

It is important to monitor the daily structure over the next few days. It is important to also monitor the strength of the upperwicks which indicate how determined bears are to defend their resistance zone.

Key Support Levels: $1650 and $1420 Key Resistance Levels : $1800 & 2100

Daily Moving Averages MA20: MA50: $1581 MA100: $1490 MA200; $2101

Source: TradingView

The ETH/BTC Chart

The ETH/BTC chart shows that the ascending line (in orange), is acting as resistance. The resistance to the descending line (in yellow) of the 14-day Relative Strength Index has been encountered for the third consecutive day (50 days) after it reached above 70 once more. This zone is considered overbought and the negative divergence in red suggests that the trend is becoming more weaker.

With a close below 0.08 BTC, a trend reversal could be initiated. This situation will likely see support at 0.073 BTC.

Key Support Levels – 0.0.0.08 and 0.073 Bitcoin Key Resistance Levels : 0.088 and 0.093 BTC

Source: TradingView

CryptoPotato’s first post, ETH Must Break This Level in Order to Initiate a Sustained Rally, (Ethereum Price Analysis), appeared first on CryptoPotato.

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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