At the time of writing, Ethereum price is trading around $1,800, recently consolidating below the significant resistance level of $1,850. So even with this short-term consolidation, the long-term trend for Ethereum is still bullish. Don’t let that recent momentum fool you into thinking everything’s coming up daisies in the short term. The medium term outlook remains bearish, especially below the $2,104 level. These levels are no doubt being watched closely by investors to determine if additional upward movement is likely.
Technical Analysis Overview
Ethereum has shown a powerful weekly close—in the green by 13%. And this helpful momentum on the ground is just getting started. Weekly trading volumes have completely exploded —rocketing up to 14.6 billion this week for a stunning 76% increase! Ethereum has the most upside potential — an estimated 42% from its current level. This is a massive upside opportunity for those looking to invest if important resistance levels can be crossed.
Ethereum has strong resistance levels at $2,105 and $2,556, but these levels could prove formidable hurdles to additional gains. On the downside, important support levels are found at $1,470 and $1,380, offering a cushion in the event of a reversal. Ethereum’s important targets lie at $1,875, $2,105, and $2,560. These are the benchmarks traders and investors alike will use to judge its progress, and therefore risk their investment capital on.
Liquidation Zones and Value Area
Ethereum liquidation zones are heavily focused near $1,870 and $1,700, zones in which strong price action could send the market into a cascade of liquidations. More specifically the major buyer liquidation zone is roughly in that order between $1,730, $1,700, $1,600 and $1,500. Ethereum’s value area is between $1,650 and $3,325. This range is the range over which the asset is considered fairly priced.
Momentum and Future Outlook
Ethereum ETH is attempting to rebound, aided by bullish crosses from multiple oscillators. This is a massive bullish sign, as it shows that there is a growing conviction to buy the crypto and confidence is being restored. Investors and traders alike should keep a watchful eye on these technical indicators and key price levels to make the smartest investment possible.
