Alongside Bitcoin reaching a brand new all-time excessive above $20k, Ethereum continued to realize a brand new excessive valuation for 2020. Ethereum crossed its earlier native prime at $637, registering a brand new excessive at $676. Whereas at press time, it was right down to $644, there’s a sense of optimism concerning a doable transfer upwards.
Ethereum 4-hour chart
Supply: ETH/USD on Buying and selling View
Whereas Ethereum managed to go above $637 with its current rally, its robust bullish sentiment has been maintaining it above the instant help i.e $637. Over the previous 24-hours, ETH hasn’t traded beneath $637, indicating a little bit of stability on the present value vary. The buying and selling volumes have remained excessive as nicely indicating a way of upper exercise.
At press time, Ethereum was additionally exhibiting the formation of a bullish flag. Whereas the bull flag could presumably set off the 2nd bullish leg within the present market, you will need to maintain a observe of the following 24-hours. Constant buying and selling above $637 ought to enable the asset to maneuver one other leg up within the charts, and presumably attain a place above $700 subsequent.
Market Rationale
Supply: ETH/USD on Buying and selling View
After reaching the native prime at $676, the retorting value is resulting in a lower within the Relative Power Index however it’s a good signal for the reason that value hasn’t dropped beneath the final excessive at $637. With the RSI falling beneath the overbought area, a resurgence will result in one other spike of the indicator within the over-bought area with consumers placing in additional strain.
Superior Oscillator recommended the same conundrum with the bears taking a minor grip available on the market at press time.
Conclusion
Whereas Ethereum is at the moment bullish in keeping with the bullish flag, this optimistic narrative can be stronger if it stays above $637 for one more 24-hours. It’ll enhance the likelihood of a doable place above $700 earlier than the top of the present week. With the present excessive volatility, additional value swings could be anticipated.
