The crypto scene could be ecstatic, near rapturous on Bitcoin’s performance. Even so, there is nothing much going on in Ethereum.
If anything, ETH/USD price action has been near “stable” inside a $500 zone with marked caps at $3k on the lower end and $3.5k on the upper end.
These levels are critical. Any reaction could, without a doubt, shape Ethereum’s medium-term trajectory.
Ethereum Market Performance and Status
At the time of writing, Ethereum is up a measly one percent week-to-date and a tepid two percent on the last trading day, posting gains versus the greenback.
Surprisingly, ETH is also up two percent against BTC—despite the latter surging past $50k over the weekend.
The stability of ETH’s price could be an indicator of possible accumulation.
There is a case for this since ETH prices are firm above $3k as bulls reject any attempts of lower lows.
It is the much-needed vote of confidence for the market and ETH holders in the days ahead–especially now that the network is at a crucial point in meeting some of its roadmap goals.
From the daily chart, the ETH price is capped below $3.4-3.5k, with prices specifically ranging inside the August 13 bull bar.
Technically, from an Effort-versus-Results perspective, this signals buyers.
All the same, there ought to be a solid confirmation where ETH bulls thrust prices above this temporary liquidation level. If that’s the case, Ethereum prices could tear higher towards $4.3k—May 2021 highs, in a buy trend continuation pattern.
The resilience of Ethereum buyers and bears’ inability to wind down gains of August 13 explains why most traders are upbeat, expecting increases in the days ahead.
If Ethereum Buyers Break $3.5k, The Really To $3.9k “Will Be Fast”
On Twitter, one trader identifies $3.5k as a strong resistance level. If this line is broken to the upside, the analyst predicts the rally to $3.9k to be “fast.”
Break of 3.5k from here, and 3,900 will be fast. pic.twitter.com/PLuQJq0bmZ
— Crypto Brains | Won't DM You (@Crypto_Brains) August 21, 2021
Reading from price action in the daily chart, the trader marks out $2.9k-$3.1k as reliable support which $3.5k being resistance.
Therefore, the current squeeze may provide an opportunity for aggressive, risk-off traders expecting more moonshot, swift buy trend continuation back to May 2021 highs.
The significance of $3.5k has been highlighted by other traders too.
Once ETH/USD crossed above $3.2k—a minor reaction level—in a bullish breakout pattern over another trend line, the surge to $3.5k appeared inevitable in the analyst’s view.
$ETH/USDT H Binance
The price has broke through the horizontal resistance of $3200 and descending resistance as well!
Priority is upward, the next stop for $ETH is $3500 zone, we will be waiting you here.
Share it and click ❤ pic.twitter.com/avJghTHfzD
— CRAZY RUSSIAN (@rutradebtc) August 22, 2021
Presently, ETH prices are firm and bullish but ranging within the $400 zone.
Accumulating ETH/USD Dips, Next Target $4.4k
Accordingly, buyers must overcome the immediate resistance level.
On Trading View, another trader says once buyers overcome the local top currently at $3.4k-$3.5k, it is likely that ETH prices will surge to all-time highs of $4.4k.
As a result of this possible development, the trader is “buying the ETH/USD” dips in lower time-frames now that ETH prices are accumulating.
The trader is even more upbeat, angling for more gains, especially if the BTC bull rally continues above $51k. In that eventuality, Ethereum could tear even higher—a reason further cementing his preview.
Charts courtesy of Trading View
Disclosure: Opinion is that of the author. Do your own research.
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