ETH breaks over $ 1.6,000, but is a short -term correction immediately imminent? (Ethereum price analysis)
ETH breaks over $ 1.6,000, but is a short -term correction immediately imminent? (Ethereum price analysis)
The price of Ethereum has been increasing for some time after he has exceeded the resistance mark of $ 1300. While the positive trend continues in higher periods, some signs indicate that at least a short -term correction is quite likely.
technical analysis
from: Edris
the daily -type
In the daily time frame, the price climbs higher and could soon reach the level of $ 1,800. However, a short-term sweater seems to be right, since the RSI indicator was in an overbought state in the past few days.
In the event of a correction, the sliding 200-day average of around $ 1400 mark could be the first turning point, while the sliding 50-day average of around $ 1300 support zone is the second great support. Nevertheless, the price before a sweater or a reversal could first test the $ 1800 mark.
In the less likely case of an interest bully outbreak from the level of resistance of $ 1800 on the first attempt, ETH could aggressively rise in the direction of the important level of $ 2000.
Overall, this scenario appears unlikely at short notice, since a sweater seems much more likely.
The 4-hour diagram
If you look at the 4-hour time frame, the price has reached the resistance range of $ 1650, but at the moment it has trouble breaking up.
The RSI indicator also shows some worrying signs in this time frame, since a clear decline in divergence has formed between the last two courses, with the RSI being lower. This classic reverse pattern could indicate a probable rejection of the $ 1800 mark.
Based on a classic price action, the support area of $ 1350 could continue to exist in the event of a deep correction. This scenario would invalidate a valid outbreak over the $ 1800 mark, but it doesn't seem very likely at the moment.
Tradingview
mood analysis
ETH Open Interest
The price of Ethereum has increased in the last few weeks after a strenuous consolidation over the $ 1,000 mark. In the meantime, the decline in foreign exchange reserves has come to a standstill after a massive decline since the FTX bankruptcy.
It is likely that the recent rally is due to the significant decline in foreign exchange reserves, since many investors have deducted their coins from the stock exchanges and kept in their personal wallets because they feared that the same thing that FTX happened could happen to their preferred stock exchange. Therefore, the subsequent offer shock could be one of the key factors that lead to the current price rally.The metric of the Exchange Reserve has currently stopped falling, which indicates that while many owners remove ETH, others deposit their coins in order to sell them with profit or a lower loss, since the price has increased relatively higher.
In summary, it can be said that this key figure should be observed closely at short notice, since an increase in the reserve could lead to an increase in sales pressure, which could lead to a declining turnaround. Cryptoquant
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