ETH explodes by 16 %weekly, is $ 2,000 imminent? (Ethereum price analysis)

ETH explodes by 16 %weekly, is $ 2,000 imminent? (Ethereum price analysis)

The price of Ethereum has recovered from a decisive support zone. However, there is a significant level of resistance that has to be overcome so that the market may be transferred to an upward phase in the long term.

Technical analysis

from: edris

The daily chart:

The daily chart shows a remarkable recovery around the $ 1,100 mark, where the sliding 200-day average last week offered considerable support.

Then the price recovered and successfully broke both the resistance brand of $ 1,800 and the sliding 50-day average, which will probably both act as support in the future.

The current focus seems to be on the overcoming of the psychological resistance level of $ 2,000, followed by $ 2,300 from the important technical area.

Tradingview

The 4-hour diagram:

When considering the 4-hour chart, it becomes clear that the price was supported at the lower limit of a clearly falling wedge pattern, which corresponds to the level of support of $ 1,600.

After this support, Ethereum experienced a recovery and successfully exceeded both the $ 1750 brand and the upper limit of the wedge pattern. An interest bully outbreak from a falling wedge is generally considered a positive signal.

However, the price is currently encountering resistance around the 1900 dollar zone. In addition, the RSI indicator points to overbought conditions, which indicates the possibility of a short-term withdrawal or consolidation.

Tradingview

mood analysis

by: edris

Open interest in Ethereum

After consolidation in recent months, Ethereum's price recently recorded an upward trend. This upward movement could arouse the interest of investors and dealers, especially speculators on the perpetual futures market.

The open interest metric, which indicates the number of open futures positions, currently has a relatively low value compared to the current level.

This indicates that market volatility may be lower until the key figure increases. As a result, it is plausible to expect a continued upward trend at short notice, unless unforeseen events disrupt the current scenario.

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