Since April 19, Ethereum has been engaged in an impressive bullish run. The biggest altcoin has reached its targeted price of $3,542. Today, it is in a minor retracement for further upside momentum.
The altcoin's next target price will be at the $4,000 high. Unfortunately, the current bullish momentum is likely to subside as the price indicators are indicating that Ether has reached an overbought region of the market. Nevertheless, the current retracement may find support above $3200. If it does the bullish momentum will resume on the upside. Conversely, if the price retraces and breaks below the $3,200 support, the altcoin will further decline to $2,250 low.
A bullish trend line is drawn showing the support levels of price. The uptrend is said to be ongoing as long as the bullish trend line remains unbroken. However, if the price breaks below the trend line, it is assumed that the current trend is terminated. The RSI and daily stochastic are still indicating level 73 and 80% range respectively.
Major Resistance Levels – $4,000 and $4,500
Major Support Levels – $2.500 and $2,000
Ethereum is still in an upward move. The altcoin is likely to have a marginal upward move but may reverse at the recent high. On May 6 uptrend; a retraced candle body tested the 78% Fibonacci retracement level. This retracement indicates that Ether will rise to level 1.272 Fibonacci extension or the high of $3,982.44.
Disclaimer. This analysis and forecast are the personal opinions of the author that 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.