ETH Price Analysis: Is It Time For ETH to Break Its Multi Month Channel?

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  • ETH price has been stuck in a descending channel for 2 months
  • Ethereum Bears continue to halt any bullish momentum
  • Stochastic RSI is soon primed for a bullish move

Ethereum (ETH) Price Overview [Video]

Ethereum (ETH) is a near mirror of Bitcoins price action the last few months. When the market turns bearish, 99% of the cryptocurrency market often looks nearly exact. A breakout on top coins such as BTC & ETH is needed for a trend to be set for the rest of the market.

Ethereum’s “London” upgrade is set to launch soon which may have a positive impact on the price action. A large move is needed to put an end to this choppy, directionless price action. 

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As shown in light blue, a descending channel has kept ETH price in a strong downtrend the last couple months. Each time a breakout is attempted, the opposing traders do not let it happen. At the time of writing, price is curling off the median line of the channel (red).

This is a good position for a bounce to occur as long as bulls manage to keep price above its major support zone of $1840-$1973. A bearish break of this zone along with the median line of the channel will likely cause a fall to support area of $1573-$1702. 

Ethereum Price Analysis: ETH/USDT 1 Day Live Chart

A bullish break of $1965 is needed for ETH price to start an uptrend. This will clear the space for price to rise to major resistance of $2103 & potentially higher. For that to occur, ETH must clear its 30 day MA & HOLD. The key is to hold this MA as price has continuously failed to hold it the last 2 months. If this is deemed successful, price must break the top trend of its descending channel to be completely clear for a larger revival to occur. 

The RSI has been stuck within a sideways channel the last 2 months. This range has been from the 35-50 value.

A break of either direction is needed for price to be free for a larger trend to occur. The Stochastic RSI has recently hit a 2 month low which shows buying is also very low. On the bright side, this does set ETH price up for a potential bullish trend if the stochastic breaks above the 20 value. 

ETH Price intraday levels 

  • Spot rate: $1,910
  • Trend: Bearish
  • Volatility: Low
  • Support: $1836
  • Resistance: $1965
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Domenic

Domenic Fiore has a love for the financial markets. He decided to skip the college route to pursue entrepreneurship.

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