Ethereum Price Prediction: ETH Buyers Teases Bullish Breakout From 200-DMA

By Brian Bollinger
April 3, 2022 Updated April 3, 2022
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Ethereum Price Analysis: Bloodbath On Crypto Market Triggers Fallout From Descending Wedge Pattern

The recovery rally started with the double bottom breakout that pumped Ethereum(ETH) price by 23.5% and is on the verge of surpassing the 200-day EMA. However, the fall in trading volume questions the bullish commitment despite the daily surge of 1.5%. Thus, should you consider buying into the 200 DMA breakout opportunity?

key points

  • The ETH price forms a bullish engulfing candle and surpasses the $3400 mark
  • The buyers gain control of the 200-day DMA stronghold
  • The intraday trading volume in Ether is $1.64 Billion, indicating a 34% loss

TradingView ChartSource- Tradingview

A reversal rally from the double bottom breakout close to the $2400 mark shows a phenomenal price jump of 23.5% in the last few weeks. The rally breaks above the 50-day DMA and challenges the sellers at the 200-day DMA. 

The high momentum trend projects a high likelihood of a $3500 breakout as the $3220 retest fuels the uptrend with the bullish engulfing candlestick of 5.23% rise on 1st April.

Today, the ETH price is up by 1.5%, undermining the higher price rejection observed yesterday due to profit booking after the $3400 breakout.

The traders can find excellent bullish entry spots at market price as the buying pressure increases despite the 30% fall in the intraday trading volume. If buyers can withhold the trend control, a price jump to $3888 is also on the table.

However, the failure to sustain above the 200-day EMA or $3500 psychological barrier will result in the $3400 fallout and a retracement to $3220.

  • Resistance level: $3615 and $3888
  • Support levels: $3400 and $3250

Technical Indicator

The rising ADX index(46) slope maintains an overall bullish trend.

However, the daily-RSI slope displays a minor bearish divergence among the 29th March and April 2nd peaks. This divergence suggests a slight weakness in the bullish momentum and could trigger a minor pullback in the near term.

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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