Key Highlights
- Ethereum found support near $3,820 and started a decent upward move.
- ETH is approaching a contracting triangle with resistance near $4,500 on the daily chart.
- Bitcoin price rallied over 5% and cleared the $118,000 resistance.
- XRP is struggling to gain pace for a move above the $3.00 level.
Ethereum Technical Analysis
Ethereum dipped below $4,000 before the bulls appeared. ETH found support near $3,820, bounced higher, and surpassed $4,250.
Looking at the daily chart, the price surpassed the 38.2% Fib retracement level of the downward move from the $4,951 swing high to the $3,818 low. The current price action is positive, and the price is still well above the 100-day simple moving average (red).
On the upside, the price is facing hurdles near the $4,420 level. The next major resistance is near the $4,500 level. There is also a key contracting triangle forming with resistance at $4,500 on the same chart. It coincides with the 61.8% Fib retracement.
A daily close above the $4,500 resistance zone could start another steady increase. In the stated case, the price may perhaps rise toward the $4,800 level. The next stop for the bulls may perhaps be $5,000.
On the downside, the bulls might be active near $4,080. The main support is now forming near $3,820 and the 100-day simple moving average (red), below which the price could slide toward $3,500. Any more losses might call for a move toward $3,250.
Looking at Bitcoin, there was a sharp upward move, and the bulls were able to clear the $115,500 and $116,500 resistance levels.
Economic Releases
- US Initial Jobless Claims – Forecast 223K, versus 218K previous.
