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Ethereum Forecast: Look for a Final Push

By Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

In the recent trading session, the market has been in a consolidation phase, accumulating momentum for an upward push.

  • Ethereum, after a brief dip in Monday's trading session, has shown signs of resurgence, breaking above the 20-day Exponential Moving Average.
  • The momentum suggests a potential target of around $2,400. This level has repeatedly resisted price advances and represents a significant point of interest.
  • However, it's important to note that Bitcoin remains the primary driver in the cryptocurrency market.

Ethereum Resurged After Dipping During the Session.

The $2,400 level is expected to continue offering resistance. Should a breakthrough occur, the market might make a concerted effort to surpass the $2,500 level, which also holds considerable attention and resistance. Beyond that, the $2,750 level becomes the next potential target. Over the longer term, there is a possibility of ascending even further, with a measured move from the previous ascending triangle indicating a potential destination of $3,400 or potentially higher.

Consolidation Phase

In the recent trading session, the market has been in a consolidation phase, accumulating momentum for an upward push. The $2,100 level is considered reliable support, complemented by the presence of the 50-day EMA in the same vicinity. These elements align to create a setup that suggests an impending upward move. Additionally, if there is an expectation of central banks adopting loose monetary policies, it could benefit Ethereum and the broader cryptocurrency market. Monitoring the 10-year yield is crucial in this context. A decline below the $2,000 level would necessitate a reassessment of the entire market. However, for now, the prevailing sentiment leans towards buying opportunities during dips.

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In the end, Ethereum has displayed renewed strength, breaking above the 20-day EMA and potentially targeting the $2,400 level. Resistance is expected at this juncture, with subsequent targets at $2,500 and $2,750. A longer-term perspective suggests the possibility of reaching $3,400 or even higher. The market has been consolidating recently, with support at $2,100 and the 50-day EMA reinforcing this zone. The prospect of looser central bank policies could further boost Ethereum and the broader cryptocurrency market. Keeping an eye on the 10-year yield is essential. A drop below $2,000 would necessitate a reevaluation, but for now, buying the dips appears to be the prevailing strategy employed by most traders around the world. The market continues to see plenty of opportunities for people to take advantage of now.

Ready to trade ETH/USD? Here’s a list of some of the best crypto brokers to check out.

Christopher Lewis
About Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.
 

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