Early this week, the crypto market turned green. During the last two days, altcoins have outperformed BTC, and this includes ETH. The latter was able to reclaim the $2K mark. However, is the storm over?
Technical Analysis By Grizzly
The Daily Chart
Ethereum is near a critical support level that might hold up the price in the daily timeframe. Moreover, by looking at the RSI 30-day indicator, it is evident that prior bullish legs have occurred when the RSI has broken above the baseline or 50 (in yellow) and then managed to consolidate above it.
The current value of this indicator is 40. The short-term speculators usually wait for the RSI to cross the baseline before seeking the buying opportunities in the market.
Key Support Levels: $1700 & $1500
Key Resistance Levels: $2200 & $2450
The ETH/BTC Chart
As mentioned in our most recent ETH analysis, the bulls once again successfully defended the dynamic support on the BTC pair chart (in green).
Adding the RSI 30D indicator to the above analysis, it can be seen that previous uptrends have often been accompanied by RSI breaking the baseline.
There is not enough confirmation for a trend reversal despite the above.
Key Support Levels: 0.065 BTC & 0.06 BTC
Key Resistance Levels: 0.07 BTC & 0.072 BTC
Active Addresses (SMA 30)
Definition: The total number of unique active addresses on the network, including senders and receivers.
As the price increases, the activity on the network also increases, which boosts the number of active addresses. In past bull markets, price increases have been accompanied by a sharp rise of this metric, and currently, there is no significant increase.
Despite the recent green daily candles, there are not many signs of a trend reversal, so the risk of a deeper correction is still very high.