With an overnight fall in the crypto market, the altcoins took a huge hit and promptly halted the recovery rally. Amidst the crash, the biggest altcoin, Ethereum, dropped overnight as the ETH price declined 2.50%.
As the recent hiccup coupled with the broader market fear of an intense correction, warns of a drop to $3000. However, the long-term price trend and the history of Bitcoin Halving bringing an altcoin season teases a potential bull run.
Check our ETH price prediction to learn more about Ethereum’s coming range.
Final Nail Or The Last Pullback?
With a market cap of $382 Billion, Ethereum has declined over the past few weeks, accounting for an 18% drop. However, the ETH price fall takes support at the 50% Fibonacci level at $2850.
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The recent correction prolongs the consolidation in the weekly chart between the 50% and 61.80% Fibonacci levels. However, the lower price rejection from 50% Fib level leading to the sustenance above $3000 teases a bullish break.
Currently, the ETH price trades at $3140 with an intraday Doji candle reflecting an indecision in the altcoin. Considering the market avoids any further dip, Ethereum could find an opportunity to restart the uptrend.
Technical indicators:
MACD: The bearish crossover in the MACD and signal lines in the weekly chart results from the recent pullback phase. However, a bounce back from the 50% Fib level in ETH price could restart the positive trajectory.
DMI: The ADX line witnesses a downtick, reflecting a loss in trend momentum. Further, the VI lines are preparing for a bearish cross due to the pullback phase.
Will ETH Price Challenge To $4,000?
Considering the bull run revives for the biggest altcoin, ETH price could break the overhead resistance of $3265 and signal a breakout entry opportunity. The bull run might challenge the solid resistance of $4000, resulting in a 25% rise.
Conversely, the chances of a drop to $3,000 are minimal but concernable.
