Ethereum price prediction: Technical indicators point to a possible rise in ETH to $2,120
Ethereum price prediction: Technical indicators point to a possible rise in ETH to $2,120
Ethereum traded near the key $2,000 level on Friday but retreated from its recent high. Some ETH holders panicked and closed short positions to lock in profits.
BlackRock's filing with the SEC for an Ethereum ETF was officially announced on Thursday. The move underscores the recent adoption and integration of the second cryptocurrency into the traditional financial ecosystem.
After hitting a high of $2,090, the price of Ethereum corrected and dropped below the support level of $2,050, showing a short-term bearish movement similar to that of Bitcoin.
On the hourly chart of the ETH/USD pair, a bearish breakout occurred from key support at $2,025. The bulls were able to quickly take a position near the support zone at $1,935, indicating that Ether is forming a double-bottom pattern.
At the time of writing, the ETH/USD pair has reached $1,978, down 3.9% overnight.
Ethereum is trading above the 23.6% Fibonacci retracement level. In order to start a bullish move, the pair will need to overcome the next resistance level at $2,000.
The pair also faces serious resistance at the $2,020 level, or the 100-hour simple moving average. Overcoming these resistances will trigger a new wave of strong growth and an attempt to test the $2,090 and $2,120 levels. A further rise will take the second cryptocurrency to the $2,200 mark.
On the other hand, if ETH fails to overcome the resistance at $2,020, it will continue a new decline. The first downside support is possible at $1,950, and the next key support is at $1,935.
A break below the key support at $1,920 could lead to a sustained bearish trend. Ethereum will then fall to the support zone at $1,850 and could fall further to $1,800.
Read also: Liquidation of positions worth $340m contributed to the collapse of BTC.
