The Ethereum price trajectory has been notably bearish since the onset of September, plunging from a peak of $1745 down to a recent low of $1530 — a drop of approximately 12.5%. Amid this decline, the coin sellers breached the $1577 support, suggesting a potential extended correction for this altcoin. But with the largest cryptocurrency Bitcoin staging a comeback from its $25,000 dip,
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Bear Trap Sets a Recovery Above $1700
- The failed breakdown of $1577 could bolster buyers to counterattack
- A bullish breakout from the overhead resistance will give a better confirmation of recovery.
- The intraday trading volume in Ether is $4.2 Billion, indicating a 20% gain.
On September 11, the Ethereum coin decisively broke below the $1577 support, leading many to anticipate an increase in selling pressure. Contrary to expectations, a sudden influx of buyers drove the price back above the $1577 level, indicating a false breakdown in the daily chart.
Benefiting from sustained buying interest, ETH price is now trading at $1623, marking a slight intraday loss of 1.23%. This current momentum could propel the coin’s value an additional 2% upwards before it encounters a descending resistance trendline — a trend that has dictated Ethereum’s movement for the past couple of months.
If Ethereum faces strong selling pressure at this resistance, we might see its value retreat to the $1500 level.
Will ETH Price Carry a Recovery to $2000
While the broader market sentiment appears bearish, emphasizing an oversupply concern for the second-largest cryptocurrency, any further upward movement that breaches the resistance trendline could nullify the bearish narrative. A notable breakout above this resistance could see ETH price target the $1,877 mark and possibly even rally towards $2,000.
- Supertrend: A red film representation in the daily chart indicates a persistent bearish outlook in the short term.
- Relative Strength Index (RSI): Even as the price action makes a lower low, the RSI exhibits a higher low, suggesting an increasing bullish momentum beneath the surface.