In short: Ethereum found support at the 100-day moving average of $1791 and surged to reach a crucial resistance level at $1.9K. If it surpasses this level, it could trigger another rally toward the $2K resistance zone. On the 4-hour chart, three crucial price regions were identified, including the static resistance at $2K and the static support at $1710. The Active Addresses metric has fallen into a downtrend, indicating a decrease in demand and a period of uncertainty among market participants, with increased activity needed to kickstart a healthy bullish cycle.
Our quick analysis:
The world of cryptocurrency is always abuzz with activity, and Ethereum has been in the spotlight as of late. With a bullish signal flashing, the popular cryptocurrency found support at the 100-day moving average of $1791 and enjoyed a surge in its price. However, the real moment of truth lies in Ethereum's encounter of a crucial resistance level, which could trigger another surge if surpassed.
From a technical analysis perspective, Ethereum's daily chart shows a period of steady price action around the 100-day moving average, followed by a recent surge that brought it to the upper boundary of a descending wedge pattern. The price is currently between $1791 and the static resistance zone of $2K, with a breakout likely to trigger another rally toward the resistance zone.
Zooming in on the 4-hour chart, we see that the price is likely to continue its upward trend toward the $2K resistance and potentially attempt to break out. However, market conditions and prevailing uncertainty among participants could lead to a consolidation phase between the $2K resistance and $1710 support regions.
On-chain analysis is also important in understanding cryptocurrency markets, and the Active Addresses metric suggests a decrease in demand and uncertainty among market participants during the recent consolidation phase. The market needs increased activity to kickstart a healthy bullish cycle, potentially achievable if the price successfully breaks through the significant resistance region at $2K.
All in all, Ethereum's recent surge offers hope for the $2K mark and beyond. With technical analysis and on-chain insights, it will be interesting to see how the cryptocurrency market plays out in the coming weeks.
Image provided by Unsplash
Disclaimer: Our articles are NOT financial advice, and we are not financial advisors. Your investments are your own responsibility. Please do your own research and seek advice from a licensed financial advisor beforehand if needed.
Our quick analysis:
The world of cryptocurrency is always abuzz with activity, and Ethereum has been in the spotlight as of late. With a bullish signal flashing, the popular cryptocurrency found support at the 100-day moving average of $1791 and enjoyed a surge in its price. However, the real moment of truth lies in Ethereum's encounter of a crucial resistance level, which could trigger another surge if surpassed.
From a technical analysis perspective, Ethereum's daily chart shows a period of steady price action around the 100-day moving average, followed by a recent surge that brought it to the upper boundary of a descending wedge pattern. The price is currently between $1791 and the static resistance zone of $2K, with a breakout likely to trigger another rally toward the resistance zone.
Zooming in on the 4-hour chart, we see that the price is likely to continue its upward trend toward the $2K resistance and potentially attempt to break out. However, market conditions and prevailing uncertainty among participants could lead to a consolidation phase between the $2K resistance and $1710 support regions.
On-chain analysis is also important in understanding cryptocurrency markets, and the Active Addresses metric suggests a decrease in demand and uncertainty among market participants during the recent consolidation phase. The market needs increased activity to kickstart a healthy bullish cycle, potentially achievable if the price successfully breaks through the significant resistance region at $2K.
All in all, Ethereum's recent surge offers hope for the $2K mark and beyond. With technical analysis and on-chain insights, it will be interesting to see how the cryptocurrency market plays out in the coming weeks.
Image provided by Unsplash
Disclaimer: Our articles are NOT financial advice, and we are not financial advisors. Your investments are your own responsibility. Please do your own research and seek advice from a licensed financial advisor beforehand if needed.
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