Ethereum Pauses above $3,200 Support, Poises for Upward Move Soon
The price of Ethereum (ETH) is in a downward movement. Today, the largest altcoin drops to the low of $3,111 support as bulls buy the dips.
In the last few hours, the cryptocurrency moved above the current support. Incidentally, this was the historical price level from September 10, where the Ethereum price consolidated before moving back up. If the current support holds, the market will rise and retest the resistance at $3,800. However, a breakout above the $3,800 resistance would signal the resumption of the upward momentum. It is a breakout into the bullish trend zone. However, if the current support holds, the altcoin will fluctuate between $3,200 and $3,800 if the bulls fail to break the recent high. Ether is trading at $3,219 as of press time.
Ethereum indicator analysis
The cryptocurrency has fallen to the low of level 29 on the Relative Strength Index for the period 14. This suggests that the current downtrend has reached its bearish exhaustion. Ether can probably hold above the $3,200 level. The market has reached an oversold area where buyers are likely to emerge. Ether is also below the 20% area of the daily stochastic. The market is now in the oversold region.
Major Resistance Levels – $4,500 and $5,000
Major Support Levels – $3,500 and $3,000
What is the next direction for Ethereum?
Ethereum is in a downward trend. The altcoin has resumed selling pressure after being rejected from the high of $3,800. Meanwhile, on December 14, the downtrend has seen a retraced candlestick testing the 61.8% Fibonacci retracement level. The retracement indicates that Ethereum will fall to the level of the 1.618 Fibonacci extension or $2,922.00. The price action shows that the market is fluctuating above the $3,200 support.
Disclaimer. This analysis and forecast are the personal opinions of the author and 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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