Ethereum Hovers above $3,000 Support amidst Bullish Expectation

On February 4, the price of Ethereum (ETH) rose back above $2,674 support as the altcoin climbed to a high of $3,074.

In the previous price action, the largest altcoin struggled below the high of $2,800, and Ethereum was expected to rise to $3,450 if the bulls overcome the resistance at $2,800. Today, Ether traded and reached a high of $3,074. 

It is approaching the resistance zone of $3,200 where it will meet the fierce resistance of the bears. If the bulls overcome this level, the market will rise to the high of $3,450. Conversely, if Ether deviates from its recent high, the market will drop to $2,800 or $2,600. Currently, the altcoin is moving above the $3,000 support.

Ethereum indicator analysis

Ether is at level 56 of the Relative Strength Index for the period 14. The largest altcoin is in the uptrend zone and is capable of further upward movement. The price of the cryptocurrency is above the 21-day moving average line, but below the 50-day moving average line, indicating a possible movement within a certain range. The altcoin is above the 80% area of the daily stochastic. Ether is trading in the overbought zone as the altcoin is capable of falling from its recent high. A bullish trend line indicates the support levels of the prices. The downtrend will resume when the uptrend line is broken.

Technical indicators:  

Major Resistance Levels - $4,500 and $5,000

Major Support Levels - $3,500 and $3,000

What is the next direction for Ethereum?

ETH/USD is in a gentle uptrend. The price of Ether is forming a series of higher highs and higher lows. The moving averages of the 21-day line and the 50-day line are up, indicating an uptrend. Selling pressure will resume if the price falls below the moving averages.

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.