Ethereum Recovers from Recent Fall but Faces an Uphill Task above $1,700

Ether has recovered after plunging to the low of $1,546. Immediately, the bulls buy the dips as the biggest altcoin reached the high of $1,696 at the time of writing.

Buyers are making frantic efforts to push the altcoin above the moving averages. This will propel price to rise on the upside. Alternatively, if buyers can push Ether above the $1,800 support, it will signal the resumption of the uptrend. 

Nonetheless, the upward move is presently facing résistance at the high of $1,725. If ETH/USD turns from the recent resistance, the bears will attempt to break the current support. This will sink ETH to either $1.440 or $1,320 low. Conversely, if the current bullish momentum is sustained and the minor resistances are cleared, a retest at the $2,000 overhead resistance is likely.

Ethereum indicator analysis  

ETH price tested the bullish trend line and rebounded. This signals the resumption of the upward move. The downtrend would have continued if price has broken below the trend line. The altcoin is at level 49 of the Relative Strength Index period 14. It indicates a balance between supply and demand. ETH/USD is approaching the overbought region above 80% range of the daily stochastic. The market is in a strong bullish momentum.  

Technical indicators:  

Major Resistance Levels – $2,500 and $2,700

Major Support Levels – $1.500 and $1,300

What is the next direction for Ethereum? 

Ethereum is likely to resume an upward move as price finds support above $1,560. The Fibonacci tool has indicated a possible reversal of price. On March 22 downtrend; the altcoin fell to $1656 low. ETH retraced and the retraced candle body tested the 78.6% Fibonacci retracement level. This implies that Ether will fall and reverse at level 1.272 Fibonacci extension . That is the low of $1,595.35. The price action has confirmed this level as the market moves up.

            

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.