The second-largest cryptocurrency by market capitalization spent the weekend slowly moving towards the upside and eating some of Bitcoin’s market dominance. However, the slow price increase was interrupted by an influx of ETH bulls that pushed the price up to a new all-time high of $1,477.30. The price has quickly left the discovery mode as bulls weren’t able to establish themselves above the old all-time high of $1,440 with confidence.
Ethereum’s overall outlook is incredibly bullish, mostly due to sentiment factors. While the recent downturn greatly affected most cryptocurrencies, the DeFi sector stayed pretty strong, and even pushed towards the upside, with many projects reaching all-time highs. As these projects as ERC-20 tokens, Ethereum benefited from their success both in terms of popularity (by experiencing increased its user activity and transaction volumes) and price.
Looking at its recent performance, ETH has posted week-over-week gains of 12.74%, outperforming BTC’s loss of 5.68%. ETH is trading for $1,384, representing a 32.91% month-over-month gain. Ethereum is currently the second-largest cryptocurrency by market capitalization, boasting a value of $158.3 billion.ETH/USD technical analysis: Ether is now in a healthy retracement
Ether’s price on the 4-hour time-frame has been slowly ascending and posting higher lows and higher highs for close to a month now, setting new all-time high two times. However, just like the previous time, the buying pressure remained weak enough after hitting the high, and the price started pulling away from the discovery zone.
Ethereum is now approaching the 21-period 4-hour EMA, which should add to the support at the current levels. On top of that, ETH confirmed its position above the $1,350 level today, which is a great indicator of short-term price movement.
Ether’s upside faces resistance levels at $1,420, $1,440 as well as the new all-time high, while its downside faces support levels of $1,350, as well as the 50-hour and 21-period 4-hour EMAs.ETH/USD 4-hour chart
Ether’s 4-hour RSI is slowly moving down after approaching the overbought area, with its current value of 57.07.ETH/USD 1-hour chart
Zooming in to the hourly time-frame, Ethereum has failed to stay above the $1,420 level, and fell from it only to meet another influx of buyers at the 21-hour EMA. However, the pressure towards the upside was weak and ETH fell further down, this time testing the 50-hour EMA. While this support level seems to be holding, for now, ETH has a long way down before traders would consider this move to be bearish.
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