Published 4 hours ago
The Ethereum(ETH) price surpassed Bitcoin’s gains this week, registering 16.3% growth in the past four days. Moreover, the technical chart showcased the coin price resonating within an ascending triangle pattern. Thus, this pattern would build enough bullish momentum to breach the $1261 weekly resistance. Grab this breakout opportunity?
Key points:
- The ascending triangle pattern breakout may hit its first target of 12.1% high.
- The support trendline fallout may invalidate the bullish thesis
- The intraday trading volume in Ethereum is $13.7 Billion, indicating a 9.73% loss
Source- Tradingview
Following a steady fast downfall in June’s first half, the ETH/USDT pair started to walk a lateral path below the $1285-$1261 resistance zone. However, amid the recent sell-off in the crypto market, the coin price tumbled 20% and retested the $1000 psychological support.
Furthermore, the multiple lower price rejection candles near this support reflected intense buying pressure and stalled the falling ETH price. Moreover, the buyers managed to bounce back from this support and surged by 21.66%.
The ETH price currently trades at $1218 and is gradually nearing the overhead resistance of $1261. Furthermore, an upcoming support trendline and stiff horizontal trendline indicate ascending triangle pattern formation.
This bullish reversal pattern in play should lead the ETH price 5% higher to $1261 resistance and, under a favorable bullish scenario, break above it.
A daily candlestick closing above the mentioned resistance should signal the pattern completion, which may intensify the bullish momentum for a potential rally to $1421, followed by $1575.
Technical indicator-
Vortex indicator: The several crossovers between the VI+ and VI- slopes highlighted uncertainty among market participants. However, the recent bullish crossover among them offers buyers an upper hand.
RSI: while the price action struggles to surpass its prior swing higher resistance, the daily-RSI slope trending higher reflects growth in underlying bullishness. The indicator slope on the verge of crossing above the neutral line may bolster triangle breakout.
- Resistance level- $1300, and $1424
- Support level- $1000 and $880
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/ethereum-price-analysis-emerging-pattern-may-push-eth-above-1265/