Ethereum Price Prediction: The $2140 demand pressure offers buyers a suitable springboard to release a new recovery push.
Published 9 hours ago
For over a month, the second largest cryptocurrency Ethereum(ETH) has been trading sideways resonating between two horizontal levels of $2140 and $2400. Despite a heavy sell-off on January 4th, the ETH price showcased its sustainability above the $2140 support which is above the safety net of 38.2% Fibonacci retracement level. The combined support could offer buyers an opportunity to revive the exhausted bullish momentum and extend the recovery trend.
Will Market Correction Push Ethereum Price Below $2000
- A bullish breakout from $2400 will release the buildup of bullish momentum
- A confluence of several technical levels creates strong support at $2140
- The intraday trading volume in Ether is $10.2 Billion, indicating a 45% gain.
Amid the increasing uncertainty in the crypto market, the Ethereum price witnessed another reversal from the $2400 resistance. In the last five days, the coin price plunged 7.5% to currently trade at $2247.
The buyers are obtaining suitable support at the combined support of $2140 and 38.2% Fibonacci retracement level. Such a degree of correction indicates the buyers continue to have an upper hand over this asset which may result in a stronger bounce back.
Moreover, the U.S. Securities and Exchange Commission (SEC) is showing signs of moving closer to the approval of the first spot Bitcoin exchange-traded funds (ETFs) in the United States. This progress is marked by the submission of amended 19b-4 filings by exchanges that are expected to list these ETFs.
With a high possibility of spot Bitcoin approval next week, the newcomers can look for bullish reversal opportunities at $2140 support. A potential bounce back from this support could push the coin price 7% to challenge $2400, whose breakout will better confirm an uptrend continuation.
The post-breakout rally could surge the ETH price to $2675 and higher.
BTC vs ETH Performance
Source: Coingape| Bitcoin Vs Ethereum Price
In recent market trends, Bitcoin and Ethereum have both shown a pattern of gradual recovery with higher highs and lows. However, the ETH price has somewhat underperformed, evidenced by the formation of a new lower high in its price trajectory. The anticipated approval of a spot Bitcoin ETF is expected to provide a significant boost to Bitcoin’s market sentiment, potentially increasing its appeal to a broader range of investors and strengthening its market position.
- Exponential Moving Average (EMA): The 20-and-50-day EMA continues to act as dynamic support to ETH price
- Moving Average Convergence Divergence: A bearish crossover state MACD(blue) and signal(orange) reflect a correction mode that is active
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The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/will-ethereum-price-soar-to-2500-support-sets-for-rally/