- ETH/USD fails to climb further upwards after hitting the $3,350 key level.
- The market has continued trading in consolidation.
- Ethereum is predicted to fall to $2,900, from where it will bounce up again.
ETH/USD fails to climb further upwards after hitting weekly resistance at the $3,350 key level. Ethereum has been very bullish in recent times, thanks to the pump that started on the 21st of July 2021 at $1,700. The upward run was such that the coin displayed a bearish candlestick only twice during the whole rally before the market ascended above the $2,900 key level.
ETH/USD Important Zones
Resistance Zones: $3,350, $3,600, $3,900
Support Zones: $2,900, $2,600, $2,350
A similar rally was experienced earlier in the year when the coin started from around the same price level of $1,700. However, unlike the current rally, the price has some stops along the road on its upward climb – first at $2,100, and then at $2,600. When price retraced below $2,600, after some struggles, Ethereum shot up directly from the $2,350 support to reach the all-time high, though the coin stuttered a bit at $3,350.
Upon ascending to the $3,350 price level, ETH/USD has met very strong opposition which has prevented its upward climb. The market has been trading so far in its rallying movement in the upper half of the Bollinger Band. But with the continuous sideways movement, price is ready to climb down to the lower half of the Bollinger Band. The Stochastic Oscillator shows the market is gradually dropping from the overbought region. This depicts reducing bullish momentum.
On the 4-hour chart, the coin can be seen tapering down an ascending triangle and breaking to its downside. Consequently, the market has continued moving in a consolidation. Ethereum has moved up again to confront $3,350, but price has been repelled once again. The Stochastic Oscillator shows a sharp dip in price from the overbought region and around the oversold region. As things stand, bears have the upper hand. ETH is predicted to fall to $2,900, from where it will bounce up again.
Also read: Microsoft: Key to Battling Piracy is Rooted in Ethereum Blockchain
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