Ethereum price is consolidating lock step with Bitcoin price but the current hourly chart suggests the top altcoin could be staging another attempt at $260.
Ethereum Market Overview
After rallying more than 100 percent since April, Bitcoin price has taken a slight breather and Ethereum (ETH) appears to be doing the same.
Yesterday the market paused while waiting for the SEC’s decision on a Bitcoin-ETF and even though the unsurprising delay seems to have had little impact on price action, Bitcoin and Ethereum could trade sideways for a tad bit longer. Let’s have a look at the charts to see what the short-term outlook is.
ETH/USD 1-HR, 4-Hr Charts
Since dropping from a 2019 all-time high to $222.88 ETH price is slowly gearing up to tackle $260. However, momentum halted as Bitcoin double-topped and dropped on 8.7 percent Monday.
Currently, ETH is tightening within a narrowing triangle and there is support at $240, $245 and resistance at $260 and $280. At the time of writing ETH is tightly riding along the 12EMA and the hourly chart shows ETH well supported at the $245 ascending trendline, which aligns with the 38.2 percent Fib retracement level.
The Bollinger bands have drawn tight with ETH riding closely above the middle band and the RSI is flatlined slightly above 50. The Stoch RSI is rising from oversold territory and as volume increases a bullish cross could be on the verge of occurring.
The ETH/BTC 4-hour chart also shows that ETH has popped above the 12 and 26-EMA and if buyers maintain interest it could be on way to setting a low high at 0.032238 since its explosive move out of the falling triangle last week.
Generally, as ETH approaches the triangle tip we can expect a more decisive move that extends to $260 but this is likely to be impacted by Bitcoin’s price action. In the event of a mild pullback, ETH is well supported at the 50 percent Fib retracement level ($252).
Do you think ETH will recover to overtake $260 in the next 24-hours?
[Disclaimer: The views expressed in this article are not intended as investment advice. Market data is provided by Bitfinex. The charts for the analysis are provided by TradingView.]
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Images courtesy of Shutterstock, Trading View. Market data sourced from Coinbase.