Ethereum price is trading with a positive bias on Monday but hovers in a very tight range. ETH must break the short-term price consolidation of $2,500 and $2,800 with strong volumes to decide further course of action. The formation of alternate red and green candlesticks near the support zone indicates indecision among investors.
- Ethereum price trades higher amid range-bound trade.
- Expect an upside of 20% if breaks above the descending trend line.
- The momentum oscillators remain neutral with no clear directional bias.
Ethereum price looks for directional set up
On the daily chart, the Ethereum price face multiple rejections near the crucial 50-day EMA (Exponential Moving Average) first near $3,274.0 thereafter at $3162.35, and finally at $3,040.70. In addition to that, every time the formation of a ‘red’ candlestick indicates the momentum of the selling pressure.
However, it is interesting to watch that sellers are accumulating the altcoin near the stable support zone of $2,500 with a brief breach of the level on February 24. Ethereum price is making higher with limited upside gains since ETH tested all-time lows on January 24 at $2,159.0.
Currently, the price is oscillating near the familiar support zone, a bounce-back is expected in the ETH first toward the 50-day EMA at $2,847.66.
A renewed buying pressure could fuel the further upside in ETH/USD to test the $3,200 horizontal resistance line that will also mark the crossing of the critical 200-EMA.
On the contrary, a spike in sell order or if the buyers are not convinced of the upside momentum Ethereum price could crash to February lows of $2,300 in that scenario.
Technical indicators:
RSI: The daily Relative Strength Index is oscillating near the average line since February 11. Any uptick in the indicator could push the price higher in the short term.
MACD: The Moving Average Convergence is still trading below the midline with no clear directional bias.
As of writing, ETH/USD is trading at $2,573, up 2.25% for the day. The 24-hour trading volume of the second largest cryptocurrency holds at $11,164,596,101.
Disclaimer
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.
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Source: https://coingape.com/markets/ethereum-price-prediction-face-upside-risk-of-20-from-key-support-level-downside-remains-capped-near-2500/