Wednesday , September 28 2022
Home / Crypto news / Ethereum Price Analysis: This is ETH’s Most Important Level to Watch This Week

Ethereum Price Analysis: This is ETH’s Most Important Level to Watch This Week

Summary:
April was a bloody month for crypto, and especially for Ethereum. The ETH price fell from its month’s highest level at 80 to 00 last night. Can we expect May to perform better? Technical Analysis Technical Analysis By Grizzly The Daily Chart The following chart shows perpetuals’ exchange data from FTX. ETH is trading on top of the marked long-term ascending line (in green). This trend line has provided support to the price since January 2021, based on the previous five attempts. ETH saw a bullish leg following each of these attempts. Currently, ETH is heading towards the sixth attempt on top of the line, along with the blue horizontal level, which intersects with the dynamic trend line at ,500. A breakdown could be catastrophic for ETH. One thing to note is that

Topics:
CryptoVizArt considers the following as important: , , ,

This could be interesting, too:

CryptoVizArt writes ETH Nearing Key Support: K to Be Retested if it Breaks (Ethereum Price Analysis)

John K. Kumi writes Bitcoin and Ethereum Surge by 5% Each in Last 24 Hours amid Recession Fears 

Arun Srivastav writes Hackers Breach Jason Falovitch’s Wallet and Steal NFTs, ETH Worth 0K

Jordan Lyanchev writes Vitalik Buterin Names the Two Cryptocurrencies He Wants to See Move to PoS

April was a bloody month for crypto, and especially for Ethereum. The ETH price fell from its month’s highest level at $3580 to $2700 last night. Can we expect May to perform better?

Technical Analysis

Technical Analysis By Grizzly

The Daily Chart

The following chart shows perpetuals’ exchange data from FTX. ETH is trading on top of the marked long-term ascending line (in green).

This trend line has provided support to the price since January 2021, based on the previous five attempts. ETH saw a bullish leg following each of these attempts.

Currently, ETH is heading towards the sixth attempt on top of the line, along with the blue horizontal level, which intersects with the dynamic trend line at $2,500. A breakdown could be catastrophic for ETH.

One thing to note is that buyer takers are less dominant, as evident by looking at data from Binance. Past uptrends have been accompanied by increased buyer dominance, which is marked on the chart below in yellow. Unfortunately, there is no positive signal now.

Key Support Levels: $2800 , $2500 , $2300

Key Resistance Levels: $3000 , $3300

Moving Averages:

MA20: $2961

MA50: $3052

MA100: $2901

MA200: $3456

The 4-Hour Chart

On the 4-hour timeframe, the Fibonacci Retracement level at 0.786 provided support and has so far prevented ETH from breaking down.

On the other hand, the Fibonacci level at 0.618 also acts as a solid resistance level, currently around $2900. Suppose ETH can break out above the marked falling wedge (in blue), it can signal a reversal in the short term. If a higher high at $3,000 is formed, this can enhance the bullish sentiment.

On-chain Analysis

Number of Active Addresses (14d Moving Average)

Definition: The number of unique addresses active in the network, either sender address or receiver. Only addresses that were active in confirmed transactions are counted.

This metric usually accompanies price trends and can be considered an index of the network’s health. When the price moves upwards, we can expect an increase in the number of transactions on the network, which increases the number of active addresses. This metric has been under a downward trend and has reached the lowest level after recording its all-time high in November.

Leave a Reply

Your email address will not be published. Required fields are marked *