Sunday, April 21, 2024

Ethereum price moves toward $2,000, but analysts say it’s just another ‘relief rally’

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On Might 30, the cryptocurrency market skilled a much-needed bounce that noticed Bitcoin (BTC) climb above $30,900 and Ether (ETH) rally 5.84% to $1,930, but analysts warn that it might be too early to count on a reversal.

ETH/USDT 1-day chart. Supply: TradingView

This is a have a look at what a number of analysts are saying in regards to the outlook for Ether shifting ahead and the most important help and resistance ranges to keep watch over.

A bounce off of main help

The Might 30 bounce in Ether got here as “no shock” to market analyst and pseudonymous Twitter person Rekt Capital, who posted the next chart, stating that “It’s extra about how a lot #ETH will transfer from right here.”

ETH/USD 1-month chart. Supply: Twitter

Rekt Capital stated:

“Technically, #Ethereum might rally to as excessive as ~$2269 to flip it into new resistance. Basic gist is that no matter this rally turns into, it can doubtless be weaker than mid-2021.”

Attainable restoration to $2,700

Perception into the attainable price trajectories for Ether was supplied by crypto dealer Ace of Alts, who posted the next chart displaying ETH “at the moment holding the vary lows once more for the 4th time.”

ETH/USD 3-day chart. Supply: Twitter

Ace of Alts stated:

“IF we handle to carry this on the 3D I might see a bounce to the $2,700 area over summer time. This space will almost certainly act as another LH [lower high] within the downtrend. Nonetheless, the R/R [risk/reward] is superb round this degree.”

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On the lookout for “another leg down”

Whereas the bounce in Ether price was a welcome sight to merchants, Crypto Tony supplied a phrase of warning, posting the next chart and warning to “by no means lose sight of the larger image.”

ETH/USDT 1-day chart. Supply: Twitter

Crypto Tony stated:

“Sure issues are wanting good for the time being, but to me that is merely a aid rally. We’ve got no damaged market construction on the timeframe and till confirmed in any other case I’m nonetheless in search of another leg down.”

Primarily based on the chart offered, another leg down has the potential to drop the price of Ether into the $1,500 vary.

The general cryptocurrency market capitalization now stands at $1.271 trillion, and Bitcoin’s dominance price is 45.9%.

The views and opinions expressed listed here are solely these of the writer and don’t essentially mirror the views of Cointelegraph.com. Each funding and buying and selling transfer includes danger, you need to conduct your individual analysis when making a call.