Ethereum currently lives in a phase of price pressure between the levels of resistance and axial support, indicating that a strong move that may redraw the market features of the second currency globally, and after the market turmoil that witnessed last week, attention is due to Etharium’s performance and pricing behavior near the $ 2800 region.
The pressure is increasing between 2,400 and 2680 dollars
Ethereum has witnessed in recent days an attempt to restore the 2800 dollar barrier and has already touched its highest level in three months at 2879 dollars.
Ethereum ranged since the beginning of May in a narrow range between 2,400 and 2680 dollars after a recovery from the bottom of $ 1,800, which prompted many traders to anticipate a clear penetration of this range, yet the currency faced a rejection at the local resistance level four times during the past month, which reflects the importance of this barrier technically.
Daan Crypto Trades describes the $ 2800 region as “the most important in the entire graph”, noting that it has historically formed a watershed point either for strong price starts or violent declines, and believes that the current side movement has become very tight to the extent that it warns near a price explosion in two directions in the coming weeks.
Possibilities about 4000 dollars or 2100?
Analysts are likely that a successful penetration above the 2800 dollar level with stability can open the way for Ethereum to test the current cycle peaks near 4000 dollars, and in return if the currency fails to maintain its current scale, the following pivotal support is centered near $ 2100, which represents a medium -term risk if this level is broken.
Are we facing a repetition of the 2017 scenario?
Analyst Merlijn notes that Ethereum has already emerged from a technical model known as “descending wedge”, which is usually a prelude to a large upward move, and it is noted that the currency is now going through a stage similar to what happened in the 2016-2017 cycle when the recession period followed a explosive movement that led the price towards new peaks.
Merlijn adds that technical indicators such as the RSI Index (RSI) re -test the penetration area, in conjunction with the restoration of the moving average for 50 days, which are signals that support the risk of continuing climb, and believes that the difference this time is to support the institutional market that was not present eight years ago, which may enhance the rising momentum of the currency.
While Ethereum price is currently trading at $ 2640, up 3.7% during the past 24 hours, attention is turned towards whether the currency will succeed in exceeding this critical stage.
