Over the past few days, ETH has been trading inside a descending wedge formation. The next significant price move is likely to occur at the break of the pattern.
Key Support Levels: $3,600, $3,300
Key Resistance Levels: $3,800, 4,000
ETH has managed to stay above the key support level of $3,600. Since then, the price has been moving towards the upper boundary of the descending wedge (marked blue on the following chart), which will likely act as resistance. As of now, this level is near the $3,800 level.
Should ETH price manage to break the wedge, which is a textbook bullish formation (most breakouts are on the bullish side), ETH makes an attempt to target the $4k resistance once again.
technical indicators
trading volume: Descent volume was recorded when ETH tested the key support level of $3,600. However, the price is struggling to move higher and as it rises, the volume disappears, which is usually a . Is recession Signal, indicating that the bears are in control of the market. Lack of momentum in the near term is likely to cause ETH to drop again.
RSI: The daily RSI has moved from lower lows and has failed to form higher levels so far. this is a recession The signal and probably will not change until the price breaks out of the wedge.
MACD: While the daily MACD is bearish, the histogram forms higher lows, which is a rapid divergence As soon as ETH breaks out of the wedge (in bullish case), it could be trending.
Partiality
There is a bias for ETH recession, If ETH breaks above the wedge, it could turn bias, followed by a good amount of volume.
ETH. short term price prediction for
ETH is looking bearish in the near term. However, in the longer time frame, the price of ETH could break out of the descending wedge, which could lead to a renewed interest in ETH.
As long as there is no breakout, the price will continue to bounce within the wedge range. In case of a bearish breakout, ETH will probably test the next key support level at $3,300.
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Cryptocurrency charts by TradingView.