Ethereum Sustains Recent Rallies as Bulls Target the $3,100 High

Ethereum (ETH) price has continued its upward trend. Over the past 48 hours, buyers have struggled to advance above $2,850. The resistance has caused the altcoin to consolidate below the recent high.

This consolidation will eventually lead to a breakout. Traders believe that consolidation near resistance will lead to a breakout. On the upside, Ether will rally above $3,000 if price breaks above $2,850 resistance. In the meantime, the largest altcoin will move in a range between $2,750 and $2,850 until the uptrend resumes. The upside of ETH /USD is doubtful as the altcoin is trading in the oversold region of the market.

Ethereum indicator analysis

Ether upside momentum will continue as long as the price bars are above the moving averages. The largest altcoin is at level 73 of the Relative Strength Index of period 14. The cryptocurrency has reached the overbought region of the market while the altcoin is declining. The cryptocurrency is above the 80% area of the daily stochastic. The overbought area of the daily stochastic will attract sellers.

Technical indicators:

Major Resistance Levels - $4,000 and $4,500

Major Support Levels - $2,500 and $2,000

What is the next direction for Ethereum?

The largest altcoin has been trading in overbought territory since August 4. The uptrend is likely to resume after the retracement. Meanwhile, the August 4 uptrend has a candlestick body testing the 50% Fibonacci retracement level. The retracement suggests that Ethereum will rise to the 2.0 Fibonacci extension level or $3,091.75.

Disclaimer. This analysis and forecast are the personal opinions of the author and are 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.