Ethereum has recovered over 30% in the last four days. Relative calmness has returned to the market, but this cannot be seen as a sign of a downside just yet. Sharp trends always pass through a short term ranging stage where the market is advertising resistance or support levels.
technical analysis
By grizzly
daily chart
On the daily time frame, buyers entered the market and pushed ETH above it after the bears managed to push the price below the psychological $1,000 level. They have been successful in preventing the price from falling further. At this stage, it is important to check how strong the bullish momentum is.
by adding 30d speed indicator And looking at the previous examples, it can be seen that the uptrend is characterized by the breakout of the white line (100) (green vertical line). Despite the formation of positive divergence (in yellow), this indicator has not broken the white line.
Therefore, it may be a little too early to determine whether the bulls are back in town. If it is not, then any bounce can be considered as a pullback at the broken support levels.
Key Support Levels: $880 and $700
Major Resistance Levels: $1300 and $1500 and $1700
Moving Average:
MA20: $1465
MA50: $1865
MA100: $2462
MA200: $3049
ETH/BTC chart
Once again, we are seeing the same indicator in the price action of ETH against Bitcoin. The interesting angle here is that all previous uptrends, except one, are all linked to a breakout of the baseline (here, it is assumed to be at zero). The chart is currently showing a positive divergence which could be a sign of a bottom formation.
It should be noted that the use of indicators alone can be misleading. Therefore, it is always important to wait for the formation of highs and lows after receiving the first confirmation from this indicator.
Key Support Levels: 0.050 BTC and 0.0.045 BTC
Major Resistance Levels: 0.055 BTC and 0.06 BTC
on-chain analysis
hashrate (SMA 7)
The hashrate of ETH has dropped by about 13 percent in the past month. It is an essential metric for assessing many aspects of a blockchain network – in particular, its security. Falling prices and the high cost of electricity have caused miners to shut down their equipment in some areas. This happened after the Chinese ban last year and the start of the summer season.
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Cryptocurrency charts by TradingView.
