Ethereum [ETH] has so far failed to catch up with Bitcoin’s price surge. Despite a phenomenal surge, the world’s largest altcoin has failed to follow the queue as it was turned down by a crucial resistance area. ETH dropped marginally over the week, following which the coin was trading sideways and lacked a strong bullish momentum.
Over the past 24-hours, Ethereum was up by a minor 1.76% which placed the price of the coin at $630.19 while it held a market cap of $72.54 billion and a 24-hour trading volume of $16.49 billion.
Ethereum [ETH] Daily Chart:
Ethereum’s [ETH] price oscillated between the trendlines of a bearish rising wedge which depicted a bearish breakout following the completion of the pattern. As highlighted by the above chart, the 50 DMA [Pink] quickly climbed close to the ETH price candles following several pullbacks in an attempt to overtake the price as the 200 DMA [Blue] continued to lay low.
This depicted a bearish outlook as the ETH’s did not exhibit any price swings.
The Bollinger Bands were in parallel to each other which was indicative of a period of low volatility in terms of Ethereum’s price action.
Additionally, the OBV indicator depicted a significant buying volume over the past few weeks. There were price pullbacks during the sell-off periods of selling, in tandem with which even OBV saw minor declines. However, the overall trend was in the favour of the buyers.
This was further validated by the RSI indicator which bounced back to above the 50-median line. This evidenced a rising interest among the ETH investors in the market.
Despite a rather slow-price movement, there are some important levels of interest for Ethereum. The recently breached support level of $611 is crucial. If the coin manages to defend this level, it could eye its nearest resistance level of $657. Ethereum has faced several rejections in this area, hence it requires a strong bullish momentum to see the flip. Furthermore, if ETH sets up for an upward move, it could target $701.2.
Other support points were found to be at $560 and $473 respectively.