The Ethereum price bounced from a 38.2% Fibonacci retracement level at $3,517 against the U.S. Dollar, currently trading at about $3,800. The trend is bullish, but the market has been consolidating for nine consecutive days after ETH peaked at $3,950. Interestingly, the consolidation phase created immediate support and resistance levels at $3,626 and $3,950, respectively.
ETH/USD Technical Analysis 4-Hour Chart
The technical indicators in the 4-hour chart give mixed signals. In this technical analysis, we will dissect the awesome oscillator, RSI (14), and the stochastic oscillator (8.3.3) to forecast possible scenarios.
- The awesome oscillator bars are small, red, and clinging to the zero line, suggesting a neutral market.
- The RSI indicator value is 79, showing uptrend momentum, suggesting the primary trend should resume.
- The stochastic oscillator approaches the overbought territory with a %K value of 78. This means the uptick momentum began from the 38.2% Fibonacci has some room left until the Ethereum price becomes overbought.
These developments in the technical indicators in the 4-hour chart indicate the ETH/USD bullish trend is losing momentum, but the price will likely increase gradually.
ETH/USD Technical Analysis 1-Hour Chart
Zooming into the ETH/USD one-hour chart, we notice the price is rising and surpasses Saturday’s highest point at $3,781. This can lead to the consolidation phase ending. In addition, the Ethereum price is above the Bollinger middle line, which is a sign of an uptick moment, but the exchange rate is above the upper Bollinger band, which suggests the market is overbought in the short term.
The Bollinger band in the 1-Hour chart suggests the market might have a slight decline to test the middle line of the Bollinger band at about $3,758 before the uptrend resumes.
Ethereum is Bullish – Will It Target $3950 Again?
From a technical standpoint, Ethereum’s primary trend is bullish. The EMA 50 and the 38.2% Fibonacci retracement level support the uptrend. Ethereum’s bullish momentum has waned since last week, but the price crossed above the immediate resistance at $3,781. This development suggests the bulls will likely target May’s high at $3,950 again.
EMA 50 and 38.2% Fibonacci at $3,517 stand between the bull and the bear market. That said, if the ETH/USD price dips below the $3,517 mark, the price can dip to the %50 Fibonacci, followed by the 61.8% Fibonacci, $3,383 and $3,249, respectively.