Ethereum in Jeopardy as Bulls Fail to Jump over $3,225 Hurdle
Ethereum (ETH) is resuming an upward move after the recent collapse. Today, the uptrend is stuck at resistance at $3,225. Over the past 48 hours, buyers have made a concerted effort to break out above the recent high.
However, in the last two days, Ether has moved down between the $3,165 and $3,225 levels. Upside is likely if current support holds. If the bulls break the resistance of $3,225, the largest altcoin will have an accelerated price movement to the upside. The market will likely reach a high of $3,400. However, if the bears break the $3,165 support, the market will fall to the next support at the $2,945 level. The bearish scenario is unlikely as the market direction is bullish. Meanwhile, ETH /USD is trading at $3,206.70 at the time of writing.
Ethereum indicator analysis
Ethereum has fallen to the 58 level of the Relative Strength Index of period 14. Despite the recent breakdown, altcoin is in the bullish trend zone and is capable of moving higher. The cryptocurrency is above the 70% area of the daily stochastic. This indicates that the market is in a bullish momentum. On the daily chart, the price bars are above the moving averages, suggesting that the altcoin is set to rise.
Major Resistance Levels – $4,000 and $4,500
Major Support Levels – $3,000 and $2,500
What is the next direction for Ethereum?
The largest altcoin is in a downward correction below the recent high of $3,225. According to the Fibonacci tool, Ether will continue to move higher. Meanwhile, on the uptrend from August 24, a retraced candlestick has tested the 38.2% Fibonacci retracement level. The retracement suggests that Ethereum will rise to the 2,618 Fibonacci Extension level or the $3,357. 77 level.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.
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