Ethereum Begins Its Range-Bound Move Above $3,000

The price of Ethereum (ETH) fell to a low of $2,941 but recovered above the $3,000 support. Cryptocurrency price analysis brought by Coinidol.com.

Ethereum price long-term analysis: bearish

Ether has retested the psychological price threshold of $3,000 as it resumed its bullish momentum. The extended long candlestick tail indicates that the altcoin has reached a bearish state. Ether has regained its bullish momentum and is moving upwards. The uptrend will face resistance at the 21-day and 50-day SMA. If buyers keep the price above the moving average lines, Ether will resume its positive trend. Ether will rise to its previous highs of $3,700 and $4,094. 

If buyers are unable to overcome the obstacles at the moving average lines, Ether will be forced to trade in a range. It will trade between the support level of $3,000 and the moving average lines. At the time of writing, the value of the altcoin stands at $3,219.

Ethereum indicator analysis

The price bars for Ether are below the moving average lines as the altcoin approaches the $3,000 support. Selling pressure has eased and Ether has risen above the $3,000 support. The moving average lines are trending south, indicating a bearish crossover. On January 13, the candle has a sweeping long tail, indicating strong buying pressure at the $3,000 support.

Technical indicators:

Key resistance levels – $4,000 and $4,500

Key support levels – $3.500 and $3,000

What is the next direction for Ethereum?

On the 4-hour chart, Ether has dipped above the $3,000 level but below the 21-day SMA or resistance at $3,300. The uptrend is being held back by the 21-day moving average line. Ether is poised to move higher within a trading range while facing rejection at the moving average lines. The $3,000 support is holding steady as Ether begins its range-bound move.

Disclaimer. This analysis and forecast are the personal opinions of the author. They are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol.com. Readers should do their research before investing in funds.