Ethereum Chart Hints 9% Pullback; Enter This Discounted Price?

The Ethereum coin price witnessed sustained recovery under the influence of a rising trendline. Amid the new year recovery in the crypto market the Ethereum price has surged 20% in the last two weeks pushing its price to $1421. However the increasing selling pressure at $1421 encourages a possible bullish reversal.

Key points:

• An ascending trendline govers the ongoing recovery in Ethereum price
• A potential bullish crossover between the 20-and-100-day EMA would bring additional buy orders in the market.
• The intraday trading volume in Ether is $5.3 Billion, indicating a 76% gain

Source- Tradingview

The daily time frame chart shows the Ethereum price has been rising in a bullish trend for the past two weeks with a double bottom pattern. During this recovery rally, the price action gave an upside breakout of an ascending triangle pattern.

Moreover, a new support trendline in action displays an improvement in the market sentiments and supports the possibility of further recovery. However, the bullish triangle breakout sets up a position of a retest which may lead to a short term correction.

Hence, a retest possibility to the broken resistance level $1340 is high as the supply pressure increases at the overhead resistance of $1421. Thus, a daily candle with higher price rejection at $1421 will confirm a retest phase.

A potential pullback in the ethereum price may tumble by 7% to revisit the ₹1340. If the bullish momentum replenishes at this support, the interested traders.

Technical Indicator

RSI: the RSI slope soars high into the bullish territory accentuating high bullish momentum.

EMAs: Amid the recent recovery, the ETH price breached the 20-50-and-100-day EMAs. In case of possible pullback these EMAs Mai act as a significant support to resume the prior rally.

Ethereum Coin Price Intraday Levels-

• Spot rate: $1419
• Trend: Bullish
• Volatility: Low
• Resistance level- $1500 and $1650
• Support level- $1250 and $1240