Following the three unsuccessful attempts to break the resistance at $1,440, Ethereum (ETH) is consolidating above $1,300.
Today, February 1, 2021, Ethereum price is attempting to push on the upside but the upward move has been repelled. This is because the price action is indicating the appearance of Doji candlesticks. For the past three days, the price has been stable above the current support because of the uncertainty about the direction of the market.
The small body indecisive candlesticks are describing the indecision between buyers and sellers about price movement. In the meantime, the market is fluctuating between $1,200 and $1,440. On the upside, the initial push has been repelled by the 50-day SMA. However, the bulls have not lost much ground as they sustain recent rallies. A breakout above the current support will propel the price to rally above the current resistance. Ether will attain its new price level of $1,675 if the bulls are successful.
Ethereum price bars are consolidating above the 21-day SMA. This is indicative of a possible upward move. The coin is at level 49 of the Relative Strength Index period 14. It indicates that there is a balance between demand and supply.
As the price continues to consolidate, the Fibonacci tool analysis will remain the same. The tool analysis will hold when a breakout occurs on the upside. On January 9 uptrend; a retraced candle body tested the 61.8 % Fibonacci retracement level. This retracement indicates that ETH will rise to level 1.618 Fibonacci extension or a high of $1,739.45.
Disclaimer. This analysis and forecast are the personal opinions of the author and not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.