Ethereum (ETH) cryptocurrency rate is correcting towards the nearest support zone at $ 315. If the bulls defy this barrier, then the asset price will rise to $ 335 by August 6.
On Tuesday, the price of Ethereum reached its highest level since June 2019 – $ 335 (Bitstamp data). For the week, traders made about 40% profit. ETH/USD rate to be pumped on July 21, so a correction was inevitable. On July 28, the value of the asset fell sharply to $ 309, however, at this level, ETH/USD began to be actively purchased. Therefore, the price of the cryptocurrency returned to a range above the support around $ 315. Now ETH/USD is trading at 50% Fib recorded during the pump from $ 307 to $ 335.
The closest strong support barrier is located at $ 310. The upward movement will meet resistance at the $ 322 and $ 325 levels. Successful breaking of the second barrier will mean an increase in the price of ETH to $ 335. Cryptowatch data shows that the volume of Ethereum buy orders is about 20% higher than the sell order value. Given this circumstance, it will be easier for market makers to raise the price than to lower the price of the coin. The uptrend is also supported by the fact that there is no full-fledged wedge on the chart, indicating the end of the bullish trend.
The Glassnode platform reported that ETH’s “Unrealized P / L” metric is moving towards “Optimism-anxiety”. After ETH/USD reached this value in 2020 and 2019, a powerful bearish trend emerged. If the situation repeats itself for the third time, then the Ethereum rate will sharply drop.
If the value of “Unrealized profit / loss” exceeds “Optimism-alarm”, then the Ethereum pump will continue, and the price of the coin will reach new heights. Many analysts predict a rise in the value of the coin to $ 365. Only two serious barriers block the way to this mark – $ 335 and $ 343.