The Ethereum (ETH) market began the day with bearish momentum, causing the price to fall until finding support at the intraday low of $1,716.65. As the support was established, bulls entered the market and successfully pushed ETH to a 24-hour high of $1,797.88 before encountering resistance.
At press time, the ETH market was still under positive pressure, forcing it to be valued at $1,765.43, a 1.10% increase.
The persistence of bullish dominance in the ETH market may break the $1,716.65 resistance. The next resistance levels may be around $1,800 and $1,900, respectively, as investors continue to express trust in the cryptocurrency’s potential for development. But, if bears take the market and the $1,716.65 support level is shattered, the next support levels may be around $1,600 and $1,500, signaling a likely decline in the ETH market.
During the uptrend, the market capitalization increased by 1.29% to $216,430,246,077, indicating that investors remain confident about the overall success of the cryptocurrency industry despite the likely fall in ETH.
The 24-hour trading volume increased by 2.10% to $7,363,798,998, indicating that there is still a large amount of trading activity and liquidity in the market, which might potentially support additional price gains in the short term.
ETH/USD 1-Hour Technical Analysis
The linear movement of the Bollinger band on the ETHUSD market indicates that the market is in a low volatility phase and is expected to stay steady in the short term. The upper Keltner band hits at 1789.44, while the lower band touches at 1722.99, indicating a “squeeze” in the market that might imply a breakout in either direction once volatility resumes.
Because the price action produces a green candlestick with a long lower shadow, it indicates that buyers are entering the lower band and pushing the price higher toward the upper band. Traders should, however, wait for confirmation of a breakout before entering any positions, as the market may continue to consolidate inside the Keltner bands.
With a Relative Strength Index (RSI) value of 51.62, the market is now neutral and may not offer traders a clear direction. But, its upward movement indicates that there is still some positive momentum in the market, and traders should watch out for any potential breakout over resistance levels.
The MACD line has moved into the positive zone with a value of 1.41, supporting the bullishness, as has the histogram. These indicators indicate that the momentum is now in favor of buyers, and there may be an upswing soon, making this an excellent time to consider entering the market.
ETH/USD 24-Hour Technical Analysis
The Bollinger bands are rising and broadening on the 24-hour price chart, indicating that the present bullish trend in ETH is gaining strength and increasing volatility. Traders might consider purchasing on dips or retaining long positions as the price may increase further in the immediate term.
This movement is shown with the upper bar at 1914.30 and the bottom bar at 1433.31. These upper and lower bands function as “dynamic support and resistance levels” in the market, assisting traders in identifying possible buy and sell signals.
If the price breaks above the top band, it may indicate that the uptrend will continue; however, a reversal may occur if the price fails to break above it and begins to move lower toward the middle band.
The MACD movement is above its signal line reading of 47.22, and its histogram is producing green bars, indicating that bullish momentum is building and traders should look for buying chances.
The RSI, on the other hand, has produced a bearish crossing, falling below its signal line with a reading of 56.74, implying that the price may face a short-term drop before continuing its upward trend, so traders should be cautious and wait for confirmation before establishing any long positions.