For over a week, the second largest cryptocurrency Ethereum has been trading sideways trying to sustain above the combined support of $2875 and 38.2% Fibonacci retracement level. Despite stable support and the completion of the fourth Bitcoin halving, the ETH price witnessed a modest upswing to $3144 this weekend registering a 9.5% jump. Will this reversal gain sufficient momentum to surpass the $4000 high? 

Aso Ready: Ethereum Gas Fee Crashes to Three-Month Low, ETH Price Recovers to $3,100

 ETH Stands Strong Above Fibonacci Support

Amid the pre-halving consolidation in the crypto market, the Ethereum price prevented its correction below the $2875 level. This horizontal level aligned with the 38.2% Fibonacci retracement level created suitable support for buyers to regain trend control. 

This healthy retracement amid the Bitcoin halving uplifted the ETH price to a high of $3198. An analysis of the 4-hour chart shows this upswing as the formation of a double bottom pattern— a technical setup often located at the downtrend bottom and potential for higher rally.

Moreover, On-chain data provided by Lookonchain reveals a noteworthy Ethereum whale transaction. Recently, 10,119 ETH were withdrawn from Binance, marking yet another substantial move by this investor, who has amassed 127,388 ETH since April 8, equivalent to roughly $405.19 million. The whale’s average purchase price of $3,172 per ETH suggests a long-term optimistic view of Ethereum’s market potential.

This giant whale withdrew 10,119 $ETH($31.85M) from #Binance again 8 hours ago.

He has bought 127,388 $ETH($405.19M) from #DEX and #Binance since Apr 8, with an average buying price of ~$3,172.https://t.co/gV3J2sZdS1 pic.twitter.com/IJ7olISDkw

— Lookonchain (@lookonchain) April 21, 2024

Thus, if the bullish momentum persists, the ETH price may breach the $3300 neckline resistance, bolstering buyers to prolong recovery. The post-breakout may drive the asset to $3730.followed by $4100.

Also Read: Crypto Price Prediction 4/21: Memecoins Gain Momentum Post-Bitcoin Halving

Technical Indicator

• Exponential Moving Average: A bearish crossover between 20-and-50 EMA indicates the near-term trend is bullish but the price still trading above 100-and-200 EMA projects the long-term trend remains bullish.
• Relative Strength Index: The daily RSI slope at 44% reflects a neutral to bearish market trend.

Related Articles

✓ Share:

Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

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.