Ethereum (ETH) Perpetual Contract Price Analysis: May 04

• On May 04, the bullish ETH price analysis is at  $3171.80.
• ETH’s bearish market price analysis for May 04, 2022, is $2572.25.
• Ethereum’s MA shows a downward trend.

In Ethereum Perpetual Future (ETH) price analysis on May 04, 2022, we use price patterns, and the Moving Average of ETH to analyze the future movement of the cryptocurrency. 

Perpetual contracts are derivative contracts similar to futures that have no expiration date or settlement, allowing them to be held or traded for an indefinite amount of time. They are gaining popularity in crypto because they allow traders to hold leveraged positions without the burden of an expiration date. Unlike futures, perpetual contracts trade close to the index price of the underlying asset due to perpetual funding rates.

Ethereum (ETH)

A platform powered by blockchain technology is ethereum, well known for its native cryptocurrency called ether, ETH, or Ethereum. Blockchain technology creates distributed consensus about the state of the Ethereum network. New blocks are asses to the very long Ethereum blockchain to process Ethereum transactions and mint new ether coins or to execute smart contracts for Ethereum dApps.

Ethereum is used by tech giants and corporations to develop customized blockchain models. In the coming years, the increased use of Ethereum will lead the creators to switch from the proof-of-work to a new consensus algorithm. 

Ethereum has been trending up over the last few weeks s anticipation build for its massive software upgrade. Investors and developers are calling it the merge and it’s expected to happen over the next few months. It will change how transactions on Ethereum are ordered, making it more efficient and sustainable for widespread use. But until that happens, crypto experts are waiting to see how investors and companies building their tech on Ethereum’s platform respond to the changes. 

Ethereum (ETH) Price Analysis

ETH price analysis on May 04, 2022, is explained below with an hourly time frame.

A descending channel is a chart pattern formed from two downward trendlines drawn above and below a price representing resistance and support levels. The descending channel pattern is also known as a falling channel or channel down. The upper line is identified first, as running along with the highs and is called the trendline. 

The lower line is identified as parallel to the trendline, running across the bottom. It is a bearish chart pattern defined by a trendline supporting the series of lower lows and a diagonal resistance level connecting the lower highs.

Currently, the price of ETH is $2811.53. If the pattern continues, the price of ETH might reach the resistance level of $2971.40, $3171.80 and the buy level of ETH is $2873.90. If the trend reverses, then the price of ETH may fall to $2572.25 and the sell level of ETH is $2708.25.

Ethereum (ETH) Moving Average

The ETH’s Moving Average (MA) is shown in the chart below. 

Currently, ETH is in a bearish state. More so, ETH lies below 50 MA (short-term). Even more, ETH also lies below 200 MA (long-term). Once it moves above 50 MA and 200 MA levels, it completely goes to a bullish state. Moreover, there is a high possibility of a Trend reversal at any time.

Disclaimer: The opinion expressed in this chart solely author’s. It does not interpreted as investment advice. TheNewsCrypto team encourages all to do their own research before investing.