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Ethereum Dumps but ETH Trader Maintains Uptrend is Valid Even at $2k

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Ethereum price prediction cryptotelegram

Ethereum hasn’t been spared.

It is a sea of red for crypto assets—but this comes as no surprise considering the stellar rise of digital assets in the last month.

Ethereum Market Performance and Price Status

At the time of writing, Ethereum is down eight percent versus the greenback and on the brink of breaking lower, melting below the psychological $3k mark.

ETH holders, nonetheless, remain positive, expecting the cool-off to wash the system off speculators and allow price action to grow stronger for a move higher, towards $4k and beyond in the medium term.

As of now, even Ethereum’s solid statistics can’t help.

The ongoing deleveraging–just like it did happen almost two weeks ago on September 7–is bringing sense to traders.

From the daily chart, ETH is relatively weak.

Despite the confidence, it is clear that sellers have the upper hand. Of note, ETH bulls of the last two weeks failed to reverse the losses of September 7.

Ethereum Price Daily Chart for September 20

The results, therefore, were long upper wicks signaling weakness and lower lows at the tail end of last week. Those fractures led to a full-blown collapse and popping of “buy Bubble” in early Asian sessions, which spilled over to the European and now the N.Y. session.

Technically, this dump seems to mark peaks of August to early September wave of higher highs.

However, from a pragmatist’s perspective, the sell-off—which gathered steam in the European session—is a trend continuation, marking the presence of sellers set in motion in early September.

Reading from the daily chart, the bear breakout of ETH prices could spark deeper selling pressure that might even force the coin back to $2.4k.

It would especially be the case if $3k fails today and panic grips the market, forcing weak hands to liquidate, sparking of another wave of sell-off.

Ethereum Entries between $2.2k and $2.5k

That Ethereum might slump in the medium term is prepping equally cautious analysts.

Acknowledging that ETH/USDT upside is over and sellers are in the driving seat, one trader on Twitter thinks the best entries for ETH stands at $2.2k and $2.5k zone.

Explaining his position, the analyst notes that ETH is trickling lower, clearing past critical support trend line, and trading volumes are equally picking up. These patterns are precursors of what might turn out to be deep, unwinding correction.

ETH is Still Bullish Even at $2k

Still, another trader on Trading View is defiant.

Regardless of how low ETH prices can sink, he maintains, the coin remains bullish in his assessment even if it craters to $2k.

Ethereum at $2k bullish

Based on the price action in the daily chart, ETH correction to $2k will only retest the primary support trend line. This line defines the ETH/USDT rising channel and guides optimistic ETH traders angling for even more gains above $4.4k to over $10k.

From the analyst’s assessment, ETH can even slide below $2k to reach $1.7k. This is the primary support level that, if bears breach, might turn the trend, shifting price action in favor of Ethereum sellers.

Ethereum Bull Trap, ETH Dumping to $2k?

Clearly, from the daily chart, ETH/USDT is trading in a bear breakout pattern, dumping.

After the initial bull trap over the weekend, the re-emergence of bears, a trader on Twitter states, may see ETH dump to as low as $2k.

This level, he mentions, flashes with the 200-day moving average—the immediate bear target for sellers.

Charts courtesy of Trading View

Disclosure: Opinion is that of the author. Do your own research.

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