Ethereum Price Movement Analysis for 28th March, 2021

Spread the love

 474 Interactions,  2 today

Ethereum’s long-term uptrend remained unchanged. According to Cryptoquant numbers, ether deposits in major cryptocurrency exchanges have reached new ATLs. There were no signs that ETH had reached its peak. Although the uptrend was unbroken on the charts, there were signs of momentum weakening. A further decline to $1550 would provide a purchasing opportunity. If $1700 is converted to support, Ether may be forced up towards $1900.

Ethereum 1-Day chart

On the daily map, the image remained bullish, but there were clear signals that ETH was in the midst of a correction/consolidation phase. The rejections at $2040 and $1930 in the last two months have caused the trend to slow down and even turn bearish for a fleeting time as ETH was pressured to measure $1290.

There was a market area about $1550 that ETH could revisit. Some levels of support and resistance were plotted using the Fibonacci retracement tool for Ether’s price shift from $905 (correction after bearish divergence) to $2041 (ATH).

RECOMMENDED READ:  Apple Co-Founder Steve Wozniak Sues YouTube Over Crypto Scams

On longer timeframes, such as the 12-hour and monthly, technical indicators indicated neutral to bearish traction for ETH. The $1550 field could be revisited which would be a reasonable spot to invest. Price might return to support at $1700 in the coming days and increase to $1850, but this result seems less probable based on the evidence at hand.

Reasoning

Chaikin Money Flow fell below +0.05 for the first time since early November, when ETH was traded about $380. Since then, the CMF has continuously been above this level, implying nett capital flow into the market and buyer domination. ETH could settle at $1700 or even pullback to $1550 if it reaches neutral territory.

The RSI was at 50, and the Awesome Oscillator was close to empty, meaning that ETH was losing momentum. Lower timeframes indicated that bulls were gaining control as price climbed to the $1690-$1720 supply range.
If this becomes a demand zone, ETH is likely to rise to $1780 and $1850, but no signs of buyer intensity were seen.

RECOMMENDED READ:  3 reasons why XRP price can continue to fall after a 63% crash in four days

If this turns into a demand zone, ETH is likely to rise to $1780 and $1850, but buyer power has yet to be seen on the longer timeline maps.

Conclusion

Flipping $1720 on demand or returning to $1550 are both decent ways to purchase ETH.

 

Leave a Reply

Contact Us