In the last 48 hours, the bulls and bears of the Ethereum cryptocurrency market appear to have reached equilibrium as the price fluctuates between $235 and $245.
For the past two days, Ethereum (ETH) buyers were under pressure to push prices above $250 resistance. The failure of the bulls has resulted in the range-bound movement of Ethereum. Possibly, the recent range-bound movement will eventually result in a breakout or breakdown.
Buyers are favourable in the current dispensation as they are close to the breakout point. Besides, this is a bull market. Assuming a breakout occurs above $250; Ether will have free passage and rally towards $270 high. In the meantime, the price is consolidating between $235 and $245. However, the bears are presently on the defence as bulls continue their offensive. Nevertheless, if the bears break below $235, ETH may fall.
The price is approaching the resistance line. When price breaks and closes above the resistance line, the trend is said to continue its uptrend. Ether is above 80% range of the daily stochastic indicating that price is in a strong bullish momentum.
Key Resistance Zones: $220, $240, $260
Key Support Zones: $160, $140, $120
Ethereum is now trading in the overbought region of the daily stochastic. This implies that sellers may emerge to push prices down. However, in a trending market, the overbought or oversold conditions may not hold. Meanwhile, price bars are above the EMAs which guarantees further upward move.
Disclaimer. This analysis and forecast are the personal opinions of the author are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.