Ethereum eventually sustained a bullish track as ETH’s latest rallies terminated a dominant trend to introduce a buying edge. As the 200 Exponential Moving Average assumes a bounce-back level for bearish drags, the leading alt witnesses a volatile break beyond the POC (Point of Control).
Meanwhile, the 4hr chart shows a 2-week trend-line resistance matched with the ceiling zone at $1,900 to form a short-term barrier. This resistance might reject ETH’s upside for some time before a potential bull resurges. While publishing this post, Ethereum changed hands at $1,887.6, maintaining upsides over the past 24 hours.
Ethereum 4Hr Timeframe
Ethereum’s growth within the previous month has amplified the alt’s efforts to shift the broad narrative to favor bullish actions.
Consequently, the Exponential Moving Average ribbons remained northbound as they supported Ether’s 87% uptick from mid-July lows. Also, the latest buying comeback backed the token’s upside to its 2-month peak on August 11.
However, Ethereum witnessed a brief higher price rejection as bears posed obstacles around the $1,900 territory. Meanwhile, the altcoin witnessed an approximately 60% trading volume uptick within the last 24 hours.
This uptick has reaffirmed the short-term bullish momentum. A bounce from $1,900 might help bears retest $1,812 – $1,744 in the upcoming sessions.
Meanwhile, an ultimate break beyond the trend-line resistance might open the gates for ETH to test the 2-month trend-line resistance before plausible slowdowns emerge. Such scenarios would have potential targets around the $1,990 mark.
Reasoning
The RSI (Relative Strength Index) hovered around the overbought region at this publication. Furthermore, the CMF (Chaikin Money Flow) formed a bearish divergence with MATIC’s price. However, the Awesome Oscillators lines suggested a massive buying strength, especially after the latest bullish twin peak pattern.
Conclusion
Considering the $1,900 trend-line resistance and the horizontal line confluence, Ethereum might witness a short-term setback before recovering again.
A closing beyond this region might affirm an upside catalyst. Targets would stay as highlighted above. Lastly, investors should watch Bitcoin’s tendencies. Remember, ETH shares a whopping 95% correlation with BTC.
Stay tuned for the latest news in the crypto space.