Will $ETH Price Face an Inevitable Crash to $1700?

Ethereum Price Prediction: Over the past four days, the cryptocurrency market experienced a notable increase in buying activity, leading to an upsurge in several major cryptocurrencies. As a result, the Ethereum price rebounded from the local support of $1790 and jumped 3% higher to challenge the overhead resistance of $1870. Are buyers ready to surpass this aforementioned barrier or we may see a prolonged correction in the near future?

Also Read: Ethereum Balance On Crypto Exchanges At 5-Yr Low; Can ETH Price Crash To $1400?

Ethereum Price Daily Chart

• The $1870 stands as a crucial supply zone for market participants
• A bullish breakout from the wedge pattern will set the Ethereum price for a sustained recovery.
• The intraday trading volume in Ether is $4.1 Billion, indicating a 6.9% loss.

Source- Tradingview

Earlier today, the Ethereum price showed a 1.62% intraday gain and an attempt to rechallenge the overhead resistance of $1870. However, this horizontal resistance is accompanied by an angular resistance trendline of a wedge pattern, creating a high supply zone for market participants.

By press time, the ETH price trades at $1841, and the aforementioned gains are nearly halved, indicating the sellers are aggressively defending this resistance. The long-wick rejection on the daily candle proposes a possibility of bearish reversal.

If the overhead supply persists, the Ethereum price will continue with the prevailing correction phase and drop the market value by 6.75% to hit the $1700 mark. 

Will Ethereum Price Plunge to $1700?

A potential reversal from the $1870 resistance will create a new lower high in the ongoing correction phase in ETH price. This top will indicate the contention of prevailing downtrend and more likely plunge the prices to $1700 which is the next significant support in the daily chart.

• Pivot Levels: This support/resistance indicator highlights the crucial supply zone at $1925 and $2087 levels. However, on the flip, the buyers may witness demand zones at $1700 and $1546.
• Average Directional Index: The downsloping ADX slope reflects a lack of buyers’ conviction to recent growth, indicating a higher possibility of bearish reversal