Ethereum Price Analysis: ETH/USD Keeps Growing

Ethereum (ETH) cryptocurrency has finally settled in a range above $ 1,850. This fact indicates that the coin will rise in price to $ 2000 by February 25, but then it will begin to fall in price.

Key Points

• ETH is hovering below the 100-hour average ($ 1,900) at which the nearest resistance zone has formed.
• The 1 hour chart shows a downtrend line with resistance at $ 1,905.
• The key support zone is located in the $ 1,850.

Ethereum rate reached a new all-time high of $ 1918 (Bitstamp data) on February 18. The pump started when buyers broke through the contracting triangle with a resistance zone around $ 1805. As a result of overcoming this obstacle, the value of the asset increased by 6%. But the upward movement ended due to the growth in the volume of coins sold.

Currently, a contracting triangle is forming on the chart with resistance at $ 1905 and support at $ 1890. The lines of the figure will cross, so an increase in the level of volatility is expected during the next session. In early February, the triangle was broken up by 30%, but this time one cannot count on such a powerful pump. In the best case, the ETH rate will rise to $ 2000 before the imminent correction.

What Are The Prospects For Ethereum?

According to IntoTheBlock, over 170,000 ETH addresses have bought about 15.43 million coins at prices ranging from $ 1,775 to $ 1,813. This statistic suggests that the main support zone is located in this corridor, and with a high degree of probability, coin holders will defend this obstacle. Thus, the Ethereum price should not fall below $ 1775.

Throughout February, the ETH rate is growing steadily. During this period, the coin has risen in price by 50%. Bitcoin (BTC) added 59% in price and increased its dominance in the cryptocurrency market. The BTC pump was driven by news of the purchase of coins by Tesla, as well as plans by MasterCard and BNY Mellon to integrate the digital asset into their platforms. In this regard, the main question is whether ETH will be able to catch up and overtake its older brother in terms of value growth.

Ethereum blockchain metrics support the bull run. In particular, the number of new addresses on the decentralized network continues to grow. Moreover, on February 16, Coinbase began accepting applications from users for staking ETH. This will increase the demand for coins and reduce their number in circulation. Together, these factors indicate a continued bullish trend and give hope for a bright future for Ethereum.

Technical indicators:

• 4 hours MACD is in the bullish trend zone.
• 4 hours RSI is above 60 (in the neutral zone).
• Major Support Level – $ 1850.
• Major Resistance Level – $ 1920.
• The nearest pivot points are $ 1865 and $ 1929.

(No Ratings Yet)

Loading...