Ethereum (ETH) is currently in a crucial stage with its price fluctuating around $2,400. The traders are interested to know if it would be possible for the asset to reclaim important levels for the next upturn or whether the decline will continue.
$ETH Two Zones Of Interest
— VeLLa Crypto (@VellaCryptoX) October 10, 2024
Either reclaim 2433$ & Full Send to 2662$
Or One More move Downside Sweep The Lows At 2328$ & Full Send to 2662$
Manage your Risk Accordingly pic.twitter.com/Gx4SXEsox6
A recent analysis by VeLLa Crypto shows two major price levels. The first is $2,433- a level that Ethereum needs to overcome to move to the next level. If Ethereum gets to this area, the next level to look at is $2,662 with the prices preparing for a bullish run. However, the downside risk is still there. If ETH fails to sustain the current levels of price, it may pull backward to $2,328 before giving another jump to $2,662 price range.
The technical indicators point to mixed signals. Ethereum’s 50-day Exponential Moving Average (EMA) is acting as a potential support zone, currently sitting at $2,745. Historically, reclaiming the 50-week EMA has been a bullish indicator for the cryptocurrency. On the downside, the 200-week EMA, at around $2,104, has previously marked the bottom of major corrections. This level could act as a strong support if Ethereum sees another sharp correction.
From the market perspective, its Relative Strength Index (RSI) is currently at 44.53 meaning that the Ethereum asset is not yet due for an overbuying frenzy. This could pave way for an upward trend provided the buyers take charge again. However, the overall market is still cautious because of the mixed signals reflected by the technical tools.
AAVE, Uniswap, and MATIC: Key Drivers of Ethereum’s SuccessFrom a wider perspective, there is comparison of Ethereum’s present trajectory with previous phases of bulls. In the 2017/2018 and 2020/2021 cycles, the cryptocurrency experienced steep declines after experiencing increases. This suggests that if Ethereum continues in the same trend as before, the market may see quite a strong uptrend. A Fibonacci extension shows $6,978 and $10,623 levels as major resistances should the bullish trend continue in the long term.
Despite the mixed signals, Ethereum’s 24-hour trading volume has seen a 4.11% increase, reaching $14.7 billion. However, its market cap has declined by 1.50% over the past day, standing at $289 billion. As of press time, Ethereum’s price stands at $2,407, reflecting a 1.50% decline over the last 24 hours.
Traders and investors continue holding their breath as ETH yet awaits to build a firm stance around these significant levels. Whether it breaks upward or downward might determine the likelihood of the next significant move in the crypto market.
