- Ethereum bulls back to the drawing board, embracing support at $1,850.
- Signs of recovery begin to emerge as the RSI bounces off the oversold region.
Ethereum plunged massively, exploring the levels under $2,000 for the second time since it traded all-time highs of around $4,500. However, support appears to have been established at $1,850, allowing bulls to take control.
At the time of writing, Ether trades at $1,950 amid a gradual recovery push for gains eyeing levels above $2,000 and toward $3,000. The entire market gradually turns green as investors return to the market following the second selloff in June.
Will Ethereum sustain a recovery above $2,000?
It is only a matter of time before Ether swings above $2,000. The technical outlook reveals several buy and bullish signals, starting with the Relative Strength Index (RSI) on the four-hour chart.
Following the dip to $1,850, the RSI briefly tested the oversold region, but a recovery ensued with the trend strength indicator pointing north. A continued movement toward the midline will most likely allow bulls to increase their presence in the market.
ETH/USD four-hour chart
The Moving Average Convergence Divergence (MACD) indicator is worth watching in the coming sessions. With the downswing stopped, recovery from the negative region is highly anticipated and will market the beginning of an uptrend.
Therefore, traders should watch out for the MACD line crossing above the signal line, a massive bullish signal. If the technical tool moves into the positive region, the uptrend will be validated.
Despite the incredible recovery prospects, some barriers are expected to delay the upswing and they include $2,000, $2,250, the 100 SMA currently holding at $2,400, and $2,800.
Ethereum intraday price levels
Spot rate: $1,950
Resistance: $2,000, $2,250 and $2,400
Support: $1,850 and $1,730
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.