Ethereum price is attempting to move back towards its all-time highs, and this has started conversations around a potential breakout. ETH is trying to move above its major resistance levels, but the $2,020 hurdle is still proving quite difficult. Is another plunge back down around the corner?
Ethereum Shows Recovery But Struggles
An increase in the price of Ethereum was visible as it surged beyond the $1,880 mark. Ethereum had a strong four-hourly candlestick, as it managed to not only break the psychological barrier of $1,820 but also establish itself above the $1,920 mark. Every prominent crypto analyst has suggested that Ethereum is currently following Bitcoin, which is a trend that many investors are happy about.
“Recovery above $1,950 looked good, but the tougher battle remains at $2,020,” Jindal told us.
Ethereum price has currently dipped below the $1,950 mark along with the 100-hourly Simple Moving Average. Given the current dip, Ethereum is highly volatile, with the $2,020 mark keeping bullish orders in check for the time being.
Key Levels for Ethereum Price:
| Support Levels | Resistance Levels |
| $1,980 | $2,020 |
| $1,950 | $2,040 |
| $1,880 | $2,120 |
| $1,850 | $2,150 |
Will Ethereum Break Through the $2,020 Barrier?
Ethereum price needs to cross the crucial resistance levels of $2020 and $2040 for it to change its momentum positively. As per the Kraken data, the level of $2040 is in sync with the 76.4% retracement level on the fib of the bearish wave from $2068 to $1936 dollars.
Should the Ethereum price break these resistance levels, analysts estimate the price could increase to $2120 and possibly $2150. With these levels; the continued strength of bullish sentiment could take ETH to $2250.
The technical picture is not so clear regarding this issue. Ethereum, as per TradingView, shows RSI crossing 50, which indicates a possible bullish trend. However, MACD stands in the weaker bullish signals, thus caution has to be taken.
Ethereum Technical Indicators Summary:
| Indicator | Current Status |
| Relative Strength Index | Above 50 (Bullish) |
| Moving Average Convergence Divergence (MACD) | Weak bullish momentum |
| 100-Hour Simple Moving Average | Below price (Bearish) |
Risks of Another Downside Drop
If Ethereum doesn’t get past the $2,020 resistance barrier, the potential for a downside correction remains a possibility. Support levels look to come in at $1,980 to $1,950 based on Kraken’s information..
A fall under $1,950 might drive ETH down to $1,880, where the next major support region is at $1,850. If the decline continues, the market may test panic levels at $1,800.
Ethreum isn’t showing signs of dropping below that. “Ethereum’s recovery is promising, but if it cannot break $2,020, recapturing momentum will be hard,” speculated crypto researcher Priya Sharma.
Ethereum Price Prediction
Ethereum price is at a critical juncture. Price movement above $2,020 will mark the start of a bull run but without the support of $1,950 it can’t climb too high. Investors are encouraged to watch macroeconomic factors, and general conditions impacting the crypto space.
Ethereum Price Scenarios:
| Scenario | Price Impact |
| Breakout above $2,020 | Bullish move toward $2,120 or $2,250 |
| Failure to clear $2,020 resistance | Drop to $1,950 or $1,880 |
| Break below $1,950 | Decline to $1,850 or $1,800 |
Conclusion
Ethereum is standing on the fence. Its current price is teasing an upward breakout above the $2,020 resistance. Although the recovery above $1,880 is favorable, the failure to break above $2,020 may trigger a return towards $1,950 or lower.
Ethereum investors are carefully monitoring the price pattern because above $2020 breach may initiate bullish momentum, which could shoot up the price of ETH to $2,150. On the other hand, if the price does not break such a prominent resistance, it is likely to result in a downward shift which revisits support at $1,880 and $1850. Keep following The Bit Journal and keep an eye on Ethereum price.
FAQs
How does Ethereum price perform in the market in the short term?
At the moment Ethereum has a resistance close to $2020. If it breaks, there is potential for the price to reach $2120 and even higher. But if this level remains unbroken, then the price will likely slide downwards to $1880.
Is Ethereum a smart buy in current market condition?
Ethereum price is seeing recovery which is good to see. However these levels of resistance $2020 and support $1950 should be monitored closely. Several factors will determine how ETH will move.
Glossary of Key Terms
- Fibonacci retracement – A technique that analyzes the price action of a certain asset with the aim of estimating probable support and resistance levels.
- Relative strength index (RSI) – An indicator that gauges the speed and the price movement change as momentum.
- Simple moving average (SMA)- This is an indicator that shows the price average during a certain time period of interest.
- MACD (Moving average convergence divergence): A trend indicator that relies on the two moving averages for estimation.
References
- Jindal, Aayush. Ethereum Price Analysis. Kraken
- Sharma, Priya. Cryptocurrency Market Insights. TradingView
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The price predictions and financial analysis presented on this website are for informational purposes only and do not constitute financial, investment, or trading advice. While we strive to provide accurate and up-to-date information, the volatile nature of cryptocurrency markets means that prices can fluctuate significantly and unpredictably.
You should conduct your own research and consult with a qualified financial advisor before making any investment decisions. The Bit Journal does not guarantee the accuracy, completeness, or reliability of any information provided in the price predictions, and we will not be held liable for any losses incurred as a result of relying on this information.
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