Ethereum Recovers from Downward Correction, but It May Reverse Gains

Ethereum Price Long-Term Analysis: Bullish

Today, Ether has reached a high of $352 which is insufficient to resume the upside momentum. To resume the upside momentum, buyers must push the price above the $380 support. 

Ethereum is likely to rise and the momentum will extend above $400 if buyers are successful above $380 high. This recent move will also put an end to the downward correction. Meanwhile, Ether is trading above $350 support, which guarantees the continuity of the upward move. However, if the price breaks below $350, the bullish scenario will be invalidated.

Ethereum Indicator Analysis

The current upward move is facing resistance at the 12-day EMA. The upward movement will be made possible if price breaks above the EMAs. Otherwise, ETH will fall or resume a sideways move. The coin is also approaching the resistance line of the descending channel. The coin will continue the upward move if the price breaks and closes above it.

Key Resistance Zones: $220, $240, $260

Key Support Zones: $160, $140, $120

What Is the Next Direction for Ethereum?

There are chances that the market will rise if the current momentum is sustained. On September 12 uptrend; the retraced candle body tested the 78.6% Fibonacci retracement level. This indicates that the market will rise and reach the 1.272 Fibonacci extension level or the high of $407.27. Later, the coin is likely to reverse and return to the 78.6% retracement level where it originated.

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.