Chart by TradingView
ETH managed to rally towards the next major key resistance level at $2,800. So far, since recording a bottom of $2160 just a week ago, Ethereum’s price had seen massive 30% gains.
Key Support levels: $2,550, $2,200
Key Resistance levels: $2,805, $3,000
ETH closed in green the past five days, reaching the key resistance at $2,805 (20-day moving average line). Now price is consolidating just under this key level in anticipation of a new attempt to break above – in case the bullish sentiment continues.
If successful, ETH would be on a clear path to reach $3,000. From the other side, the support at $2,550 has held well the retest from yesterday (confirmed as support).
Trading Volume: Decent amount of volume on this latest move higher. The key resistance is putting pressure on the price to decide its direction over the next short-term.
RSI: Great news for bulls as the daily RSI has finally made a higher high. This is very significant because it breaks the downtrend which started in November and could be the start of a major bullish reversal.
MACD: The daily MACD has been bullish for over three days, and the momentum favors buyers at this time. If ETH can break the key resistance, then expect a continuation of this rally.
The current bias for ETH is bullish. We will have to watch the $2800 key resistance levels closely and $3,000 as they will define the price action for the remainder of the week.
ETH appears well-positioned to break the critical resistance at $2,800, considering the indicators have turned bullish. Nevertheless, buyers should wait patiently until a breakout is confirmed with a successful retest of the resistance as support.
