Ethereum, the second largest cryptocurrency with the current market capitalization of $33.2 billion, has recovered from the recent low of $303.00 to trade at $307.5 by press time. However, the coin is still 1.5% lower from this time on Tuesday despite the upside momentum during early Asian hours. A sustainable move above $300 handle has improved the technical picture, but now we need to see a follow through to ab=void another bearish leg.
The initial support for ETH/USD is created by $303.00. This barrier is strengthened by SMA100 (Simple Moving Average) on 4-hour chart. It has stopped the sell-off twice recently. Once it is out of the way, the downside may be extended towards $296 (SMA50 4-hour) and $285 (the upside trendline from June 9 low coupled with the lower edge of 4-hour Bollinger Band).
On the upside, the local resistance is created by the upper edge of the 4-hour Bollinger Band at $322 and followed by the upper edge of the 1-day Bollinger Band at $328. Once these barriers are cleared, the upside momentum will gain traction with the next focus on $342.00 (the highest level since June 27). A sustainable move above this handle will signal that the correction is over.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.
A strong support is created by the short-term upside trendline.
Popular stock market and crypto trading app Robinhood is going after legacy banks with the relaunch of a cash management… Read More
According to an OECD report on counterfeiting, the world trade in fake goods is worth upwards of S$624 billion a… Read More
Who would have known American football and cryptocurrency would go so well together? In a press release, The Miami Dolphins… Read More
Increasing amounts of capital are flowing into the crypto and blockchain start-up markets. By following the money, investors can uncover… Read More
David Koepsell is the co-founder and chief executive officer of Encrypgen, a software company creating next-generation blockchain solutions for genomic… Read More