Ethereum Price Analysis: ETH Inches Higher Near $1,700 Amid Consolidation

By August 6, 2022Ethereum
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Ethereum
Published 51 mins ago

Ethereum price analysis is mildly bullish today. The price opened lower but rebounded quickly to test the session’s highs. Bulls reclaim the $1,700 again following a consolidation of four days. But, further gains still remain a challenge for the buyers as the price retraces a little in the intraday session. As per the analysis, we expect the ETH/USD to continue moving higher and pushing towards the $1,900 mark.

The market has traded in the green over the last 24-hour. As of writing, ETH/USD is trading at $1,668.03, up 3.73% for the day. The 24-hour trading volume of the second largest cryptocurrency by the market cap held near $17,221,139,647 with more than 13% gains.

  • ETH price prints fresh gains following four-day of low volatility consolidation mode.
  • However, the bulls face strong upside rejection near $1,730 on the daily chart.
  • A daily close above $1,680 would strengthen the argument for further upside in the asset.

ETH/USD has been trading in the range of $1,580 and $1,680 since Tuesday with no clear directional bias. However, the formation of higher highs and higher lows on the daily chart chalks out the probability of a higher breakout.

ETH price makes fresh upside moves

Source: Trading view

On the 4-hour chart, the ETH price formed a ‘flag’ formation from the lows of $1,356.72. Inside the formation, the price peaked at $1,792 on July 29. Since then the price slides into a descending channel. Recently, the price gives a breakout out of the channel. And consolidating near the higher levels.

A retest of the lower trend line while sustaining the 20-day EMA at $1,650 would be confirmation for the continuation of the upside momentum. If that occurs, the ETH price would easily target $1,750 followed by $1,800. Further, the addition of new buyers would prompt the price to scale up to the crucial $1,900 mark in the short term.

On the other hand, a failure to close above $1,680 would weaken the bullish argument

The RSI (14) confidently moves towards the overbought zone while holding above the average line.

Source: Trading view

On the hourly time frame, the price first consolidated in the $1,680-$1,750 range from July 28 to August 1. Next, the buyers flipped the $1,680 level into a near-term resistance zone as the price entered into another consolidation of $1,580 to $1,680.

Thus, an acceptance above $1,680 is crucial to set the fresh upside directional bias in the pair. As the price is stepping up the lows but the upside is capped. The bulls make a fresh attempt to take over the mentioned resistance level and bring more gains.

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