Bitcoin saw a sharp upwards movement earlier today that allowed the cryptocurrency to surge as high as $6,900, with this rally leading major altcoins like Ethereum to follow suit and further extend the momentum that was first incurred early yesterday.
Analysts are now noting that today’s rally allowed ETH to break above a key technical resistance level that was previously hampering its price action.
This break could prove to be highly bullish for the crypto in the near-term, potentially allowing it to rally towards $180 in the days ahead.
Ethereum Rallies Alongside Bitcoin and Most Other Altcoins
It is important to note that ETH raced as high as $150 today before losing its steam and retracing back towards its current price levels, although it still appears to be bullish from a technical perspective.
Michaël van de Poppe – a popular cryptocurrency analyst on Twitter – explained in a recent tweet that the key near-term resistance Ethereum needs to surmount if it wants to continue climbing higher sits between roughly $152 and $153.
“Ethereum: Got there and rejected. Wonderful. If we clear $152-153 area, I assume we’ll rally towards $185-195. However, after such a rally I think it’s more likely to see retests of $120-125 before continuation,” he noted.
Got there and rejected. Wonderful.
If we clear $152-153 area, I assume we'll rally towards $185-195.
However, after such a rally I think it's more likely to see retests of $120-125 before continuation. pic.twitter.com/9KcuBh0tPs
— Crypto Michaël (@CryptoMichNL) March 20, 2020
Although it is a possibility that ETH will decline further before garnering enough support to rally past $150, it still appears to be bullish over a mid-term time frame.
ETH’s Break of This Key Technical Level to Bolster Its Price Action
Although the crypto faced a rejection at its key resistance earlier today, it is important to keep in mind that it was able to invalidate the bearish double top that it was previously forming.
This has led Big Cheds, another popular crypto analyst, to explain that he is now targeting a movement up towards its 200-day moving average in the near-term, which currently sits at around $179.
“Ethereum daily – Broke its double top overnight, target MA 200, roughly $179,” he noted.
— Cheds (@BigCheds) March 20, 2020
The hours ahead should elucidate whether or not today’s upswing will drastically alter Ethereum’s mid-term outlook, but it is appearing to be increasingly likely that the crypto will soon rally higher.
Featured image from Shutterstock.