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Ethereum Faces Crucial Resistance at $1,670, but Bulls Remain Hopeful

Ethereum Faces Crucial Resistance at $1,670, but Bulls Remain Hopeful;

Ethereum, the second-largest cryptocurrency by market capitalization, has been facing a significant hurdle as it attempts to clear the $1,670 resistance level. Despite its recent struggles, the cryptocurrency market remains optimistic about its potential for a fresh uptrend.

Currently trading above $1,630 and maintaining its position above the 100-hourly Simple Moving Average, Ethereum showed strength. The bulls managed to break above a key bearish trend line with resistance at $1,628, as observed on the hourly chart of ETH/USD.

However, the crucial challenge lies in Ethereum’s ability to maintain support above the $1,620 zone. This support zone is pivotal for initiating a new upward trajectory in the short term.

Ethereum’s price notably increased, surpassing the $1,620 resistance mark. It reached above $1,650, mirroring a similar trend to Bitcoin’s recent performance. During this bullish momentum, the cryptocurrency saw a breakthrough of the bearish trend line at $1,628.

The bears entered the scene as Ethereum approached the $1,670 resistance level. The price reached a peak at $1,669 before starting a corrective descent. The decline led to a breach of the $1,650 level and a dip below the 50% Fibonacci retracement level, calculated from the low of $1,613 to the high of $1,669.

Currently, Ether is trading above $1,630 and the 100-hourly Simple Moving Average, positioning itself near the 61.8% Fibonacci retracement level. While the $1,650 level presents immediate resistance, the major obstacle remains at $1,670.

A close above the $1,670 resistance could pave the way for a push toward the $1,720 resistance and, potentially, the $1,750 level. Should Ethereum break past $1,750, it may reach $1,880 in the coming days.

However, Ethereum faces downside risks if it fails to clear the $1,650 resistance. In such a scenario, initial support can be found near the $1,630 level, coupled with the 100-hourly Simple Moving Average. The critical support zone lies at $1,620, and any further drop could bring the $1,600 level into play, potentially sparking a new bearish trend.

Analyzing the technical indicators, the hourly MACD for ETH/USD suggests a waning bullish momentum, while the hourly RSI is now below the 50 level, indicating a potential shift in market sentiment.

In conclusion, Ethereum’s struggle to surpass the $1,670 resistance level is pivotal for the cryptocurrency. Bulls are hopeful for a fresh rally, but the path remains uncertain. Traders should closely monitor support and resistance levels as Ethereum charts its course in the coming days.

 

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.