Is Ethereum (ETH) Still Eying $4,000 Retest?
Though ETH price action may appear optimistic, breaking beneath the support barrier of $2,820 in a 24hr timeframe will invalidate the bullish picture. The 'smart' contract crypto can crash towards $2,000 before rethinking directional trends.
– Ethereum has its price consolidated between 200-day Simple Moving Average at $3,491 and $3,136 high volume node.
– Bouncing off the demand zone at $2,820 – $2,966 can trigger a 25% upsurge to $3,701.
– A daily candle close beneath the support at $2,820 will form a lower low and run the ETH’s bullish thesis.
Ethereum price has recorded a massive surge since 14 March but remains stuck in a range over the past two weeks. The second-largest crypto appears ready for further declines before Ether embarks on a move to critical value areas.
ETH Should Attract Bulls
Ethereum had its price flipping beyond the 200-day SMA at $3,490 on 3 April, but the optimistic action was short-lived. That saw Ethereum losing 11% as it fell to the closest support and high volume node near $3,136.
Retesting this barrier is critical in catalyzing an upward move for Ethereum. However, some scenarios would see the alt retracing further to hit the daily demand region, stretching between $2,820 and $2,966. Such actions will allow buyers to accumulate Ether at discounted prices, triggering a new surge.
That would see the crypto targeting $3,703, the volume profile low volume node. However, this 25% upsurge remains challenging because of the 200-day SMA at $3,491. Though the crypto has a higher probability of forming a local top here, enthusiasts should await a brief move to the psychological area at $4,000.
Though ETH price action may appear optimistic, breaking beneath the support barrier of $2,820 in a 24hr timeframe will invalidate the bullish picture. The ‘smart’ contract crypto can crash towards $2,000 before rethinking directional trends.
While writing these lines, ETH traded at $3,207.79, losing 2.47% over the past day. The alt remains stuck, consolidating between the 200-day Simple Moving Average of $3,419 and the $3,136 high volume node. Though that can depict bearishness, the alt remains posed for uptrends.
Rebounding from the demand territory at $2,820 – $2,966 will likely catalyze a 25% upsurge to $3,701. Some cases would see this leg-up extending to the coveted $4,000. However, a 24hr candle close under the foothold of $2,820 will annul the optimistic narrative.