von • Ethereum’s price has found support at a significant region comprising the 200-day moving average and the lower trendline of the flag pattern.
• After breaking below the lower trendline of the extended ascending channel, Ethereum reached the crucial Fibonacci level of 61.8%.
• If the bullish rally continues, Ethereum’s next target will be the 100-day moving average and the upper trendline of the flag pattern, located at $1834.
Ethereum Price Analysis
The cryptocurrency market is currently in a state of consolidation as most digital assets are trading sideways. Ethereum (ETH) is no exception, as its price entered a seven-day period of consolidation following a period of correction which saw ETH finding support at a critical region encompassing its 200-day moving average and lower trendline of its flag pattern located around $1.6K.
Daily Chart
After an extended bearish phase, ETH managed to find strong buying pressure at this key level resulting in a slight bullish rally which was subsequently weakened upon reaching its previous minor swing on the daily chart leading to decreased volatility and formation of very small candles. If this upward momentum continued, then ETH’s next target would be its 100-day moving average along with upper trendline of its flag pattern situated around $1834.
4 Hour Chart
Moving on to ETH’s 4 hour chart; after breaking below the lower boundary line of its extended ascending channel, selling pressure remained high causing it to plummet further down until it reached crucial Fibonacci level 61.8% – representing initial target for correction legs during previous bullish run – from where it reversed direction back northwards towards breakout point near $1700 mark but failed to breach above said level due to lack in buying volume thus entering aforementioned 7 day consolidation phase.
Conclusion
It remains unclear whether or not ETH will manage to break out from current resistance levels given lack in buying pressure however if history serves us right then chances are that we may soon see another major bull run similar what we experienced earlier this year when ETH broke multiple all time highs consecutively before finally correcting itself back down towards current levels again – only time can tell us what future holds for second largest cryptocurrency by market cap!
Summary
Overall Ethereum’s price has found strong support at a significant region comprising both 200 day moving average and lower trend line of flag pattern located around $1.6k mark while also managing to reach important fibonacci retracement level 61.8% from where it reversed direction back northwards however failed to break out from breakout point near 1700$ due to lack in buying volumes resulting in 7 day period or consolidation until further notice!
