Published 21 mins ago
On October 29th, the Ethereum price gave a bullish breakout from $1600-$1575 resistance with sufficient volume rise. Today, the altcoin is down 2% and offers a retest opportunity to the breached resistance. However, In response to the rounding bottom pattern, the Ethereum price sets its recovery rally to hit $2000.
Key points:
- Low volume retest indicates price sustainability above the $1575
- The 20-and-50-day EMA bullish crossover would encourage more buyers for the coin
- The intraday trading volume in Ethereum is $14.5 Billion, indicating a loss of 32.6%.
Source- Tradingview
The Ethereum coin price has outperformed Bitcoin amid the recent recovery cycle in the crypto market. Thus, the bull run registered around 25% within a fortnight and reached a high of $1660.
Moreover, considering the parabolic recovery, the technical chart shows the formation of a rounding bottom pattern. This bullish pattern is famous for reversing price trend and triggering a significant recovery to its neckline.
Currently, the Ethereum price trades at $1585 and retests a recently breached resistance level of $1600-$1570. Moreover, the reduced volume during the retest indicates a temporary pullback and a higher possibility for the resumption of prevailing recovery.
Thus, if the price sustains above $1570, the buyers could obtain a higher footing to lead to a further price rally. With sustained buying, the Ethereum coin price should drive 12.5% higher from its current level and reach the $1780 resistance.
On a contrary note, a daily candle closing below the $1570 mark will trigger a minor pullback in ETH/USDT pair. Thus, as per Fibonacci retracement, the 0.38 FIB at $1500 and 0.5 FIB at $1460 are crucial support to capture a dip opportunity.
Technical indicator-
EMAs: the rising price reclaimed the 20, 50, and 100-day EMA signal early signs of a trend reversal. Thus, these breached slopes could also offer suitable support to maintain the bull run.
MACD indicator: the MACD and signal line entering bullish territory with a long spread indicate strong buying from traders.
Ethereum intraday price levels
- Spot price: $1585
- Trend: bearish
- Volatility: Low
- Resistance level- $1780 and $2000
- Support level- $1570 and $1500
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/bullish-pattern-sets-ethereum-price-to-pierce-1780-barrier/