Ethereum price in search of a new support level
On Saturday, the price of Ethereum climbed to a new three-week high at $2820
Ethereum chart analysis
On Saturday, the price of Ethereum climbed to a new three-week high at $2820. However, the price did not have the strength to continue on the bullish side and had to initiate a pullback from there. We soon dropped to weekend support at the $2740 level. There, we got support from the EMA 50 moving average and saw a recovery to $2792. Here, a lower high was formed compared to the day before, which is interpreted as a continuation on the bearish side.
This happened because we saw a bearish impulse on the EMA50 moving average. On Monday, Ethereum continued its retreat to a new low of $2711. We are holding above that level for now and moving up to $2735. Another step lower, we would test the EMA 200 moving average at $2690.
The bearish pressure since this morning has influenced the price to start retreating below the EMA 50
If Ethereum’s price breaks below this support, it will reinforce today’s bearish momentum. This would continue bearish consolidation, and we would have to visit lower levels. However, there is a potential for a bullish option. We need a price return above the EMA 50 moving average and the $2750 level. If this happens, we could see a stabilization at higher levels, bringing hope for a bullish trend.
If Ethereum succeeds in this, it will be well positioned to initiate further bullish consolidation. This could bring a new daily high and thus confirm that we are on the bullish side. Potential higher targets are $2780 and $2800 levels. Below, we hope to test the previous weekend’s high, reinforcing the potential for a bullish trend.
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