The crypto market is picking up again at the end of the week. All of the top 5 coins are in positive territory today, Friday. The situation at Ethereum is particularly exciting at the moment, as a combination of several technical factors comes together. Investors need to know that now.
Investors have been pleased with the price development for the number 2 in terms of market capitalization over the past five weeks. From the multi-month low of 1,700, the price of an ether rose by 88 percent.
After the strong rally, the price has now been hovering in a range since mid-August. This ranges from $ 2,892 on the downside to $ 3,333 on the upside. This range is to be seen as a consolidation phase and thus an important prerequisite for further positive development, as the previously overheated price has now released some pressure from the boiler.
ETH daily chart in USD
In addition, it can be assumed that some short positions have also been built above the current resistance at $ 3,333. Once the breakout is mastered, this creates additional momentum as these positions need to be closed out. Furthermore, there is an important resistance relatively close to the current range at $ 3,444. There is a high probability that this combination of factors will trigger a chain reaction. The breakout receives additional momentum and two technical buy signals are triggered in a short time.
The current technical constellation at Ethereum is particularly promising and as soon as the breakout succeeds, the lid will fly. Risky investors can still access it. The long-term perspective remains promising.
Note on conflict of interests:
The chairman of the board and majority owner of the publisher Börsenmedien AG, Mr. Bernd Förtsch, has taken direct and indirect positions on the following financial instruments mentioned in the publication or related derivatives that benefit from the price development that may result from the publication: Ethereum.