In brief:
- In a previous analysis of ETH/USDT, we had identified $148 as a solid support zone.
- ETH/USDT tested this support zone twice, bouncing off of it on the 16th of April.
- ETH/USDT is currently valued at $170 and looks set to continue on its upward trajectory towards $200.
With the Bitcoin (BTC) halving now officially less than a month away, the crypto markets have continued to surprise us on a daily basis. With regards to the King of Crypto, all roads were headed South after the $6,600 support zone was broken and Bitcoin briefly traded at $6,480. As soon as this price was reached, Bitcoin bounced hard and reclaimed several support zones in the process and is currently trading at $7,090, Binance rate. Ethereum (ETH) was also not left behind as shall be elaborated below.
Bitcoin (BTC) Dominance Drops By 1%
To begin with, the dominance of Bitcoin has dropped by approximately 1% from the last time we checked. In our previous analysis, it stood firmly at 65% and in the last 72 hours, it has oscillated between 63.9% and 64%. This slight deviation might seem like a small drop but it is an indicator that the trading of alt-coins has improved and traders have some level of confidence in the markets.
$148 Support Level Held Well
Secondly, in the previous analysis mentioned above, we had identified $148 as a solid support level based on the 0.382 Fibonacci Retracement level. This can be seen in the screenshot below.
ETH/USDT Back in Bullish Territory
Further revisiting the 6-hour ETH/USDT chart, we observe the following.
- The price of ETH of $170 is above the 50 (white), 100 (yellow) and 200 (green) moving averages. This adds weight to the theory of a bullish scenario for Ethererum in the coming days.
- The price has also obeyed the diagonal trend line derived from the wedge we had spotted a while back.
- Although observed to be decreasing, the trade volume of ETH/USDT is in the green.
- MACD has crossed in a bullish manner above the baseline.
- MFI is at 71 indicating that there could be a last push by ETH to possibly break the $176 resistance level.
- Other resistances include $179, $188 and $195.
Conclusion
The crypto markets have experienced an unexpected resurgence that has nudged Ethereum’s price back into bullish territory. The dominance of BTC has reduced by 1% further providing some evidence that traders are confident the markets are somewhat stable. Such stability will provide the perfect environment for Ethereum’s price to continue on its upward trajectory and possibly reclaim $200 before the ETH 2.0 upgrade in July.
(Feature image courtesy of Kid Circus on Unsplash.com.)
Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of Ethereum World News or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.