Ethereum Closes Near Its Next Profit Take Region As Bullish Momentum Continues

The Ethereum terms has been propelling itself considerably ever since Bitcoin crossed the $20,000 terms mark. Over the past 24 hours, ETH has somewhat moved down connected its chart, depicting consolidated terms action. Last week helped the Ethereum terms determination up by 6%.

The coin yet broke past its consolidation astatine the $1,500 terms level and has been moving northbound ever since. The method outlook of the coin has pointed towards continued bullishness connected the chart. Accumulation has accrued substantially ever since Ethereum breached the $1,500 terms level.

The accidental of a terms reversal cannot beryllium ruled retired conscionable yet, arsenic ETH was overbought and overvalued. Currently, Ethereum has secured $1,600 arsenic the enactment level. The adjacent terms correction could assistance traders with buying opportunities.

A terms correction mightiness not hap implicit the contiguous trading sessions arsenic request for the coin remains rather precocious connected the chart. Ethereum’s terms mightiness proceed connected the upside earlier the coin retraces. The marketplace capitalization of Ethereum increased, which besides reflected that the buying sentiment remained high.

Ethereum Price Analysis: One-Day Chart

Ethereum was priced astatine $1,620 connected the one-day illustration | Source: ETHUSD connected TradingView

ETH was exchanging hands astatine $1,620 astatine the clip of writing. Immediate absorption for the coin stood astatine $1,690; it adjacent corresponds to the 50% Fibonacci retracement level. A determination supra $1,690 volition assistance Ethereum interaction the $1,700 terms mark.

The $1,700 terms people is crucial, arsenic touching oregon breaching this people could mean continued bullish momentum for the crypto.

ETH could adjacent soar to $2,000 if the $1,700 terms people is crossed. This portion volition enactment arsenic a profit-take portion for traders. On the flip side, if the bullish momentum slows down, the archetypal autumn would beryllium astatine $1,600 and past astatine $1,520. The magnitude of Ethereum traded successful the past league was red, signifying a downtick successful buying.

Technical Analysis

Ethereum was overbought connected the one-day illustration | Source: ETHUSD connected TradingView

The altcoin was inactive successful the overbought zone, which besides means that Ethereum broke a multi-month grounds successful presumption of accumulation. The Relative Strength Index was parked a small beneath the 80-mark, which inactive signified dense buying spot and bullishness.

If request stays astatine this level, bullish momentum volition not slice retired anytime soon. ETH was besides trading supra the 20-Simple Moving Average line, indicating that buyers were driving the terms momentum.

On the contrary, the 200-SMA enactment crossed the 20-SMA line, which implies that the coin mightiness beryllium headed for southbound terms movement.

Ethereum displayed a merchantability awesome connected the one-day illustration | Source: ETHUSD connected TradingView

As accumulation has remained astatine a grounds precocious for the coin, chances of a terms pullback inactive stay for the altcoin. The Awesome Oscillator, which signifies terms direction, displayed reddish histograms, which meant that these were merchantability signals for the altcoin.

Sell signals tin beryllium accompanied by a autumn successful price. Ethereum whitethorn concisely autumn successful terms earlier resuming its upward trend.

The Directional Movement Index was inactive positive, arsenic the +DI enactment (blue) was supra the -DI enactment (orange). The Average Directional Index (red) changeable past 40, which suggested that terms absorption would summation further strength, which volition propulsion ETH to interruption past its nearest terms ceiling of $1,700.

Featured Image From UnSplash, Charts From TradingView.com