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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

TA: Ethereum Rallies Above $4K, Why Rally Isn’t Over Yet

Aayush Jindal
Aayush Jindal
3 years ago
2 mins read
Ethereum

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Ethereum followed bitcoin and rallied above the $4,000 resistance against the US Dollar. ETH is correcting gains, but the bulls could remain active near $4,000.

  • Ethereum started a fresh increase above the $3,880 and $4,000 resistance levels.
  • The price is now trading above $4,000 and the 100 hourly simple moving average.
  • There was a break above a major bearish trend line with resistance near $3,810 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is correcting gains, but there are many supports near $4,050 and $4,000.

Ethereum Price Rally Could Extend

Ethereum started a fresh increase above the $3,880 resistance zone. ETH gained pace after it broke the $3,900 resistance zone and the 100 hourly simple moving average.

There was also a break above a major bearish trend line with resistance near $3,810 on the hourly chart of ETH/USD. The pair cleared the $4,000 barrier to move further into a positive zone. It even spiked above $4,200 and formed a high near $4,240.

Ether price is now correcting lower and trading below $4,200. It is trading below $4,200, with an immediate support at $4,100. The stated level is near the 23.6% Fib retracement level of the recent wave from the $3,740 swing low to $4,240 high.

Ethereum Price
Ethereum Price
Source: ETHUSD on TradingView.com

An immediate resistance on the upside is near the $4,200 level. The next major resistance is near the $4,240 level, above which the price might start a fresh rally. In the stated case, the price might rise towards the $4,320 level. The next major stop for the bulls may possibly be near the $4,400 level.

Dips Limited in ETH?

If ethereum fails to continue higher above the $4,200 and $4,220 resistance levels, it could start a fresh downside correction. An initial support on the downside is near the $4,100 level.

The first key support is now forming near the $4,000 level. It is close to the 50% Fib retracement level of the recent wave from the $3,740 swing low to $4,240 high. Any more downsides could lead the price towards the $3,920 support and the 100 hourly SMA. The next key support is near $3,800.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is losing pace in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now above the 60 level.

Major Support Level – $4,000

Major Resistance Level – $4,240

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Aayush Jindal
Aayush Jindal

Aayush Jindal

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.

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From a young age, Aayush exhibited a natural aptitude for deciphering complex systems and unraveling patterns. Fueled by an insatiable curiosity for understanding market dynamics, he embarked on a journey that would lead him to become one of the foremost authorities in the fields of Forex and crypto trading. With a meticulous eye for detail and an unwavering commitment to excellence, Aayush honed his craft over the years, mastering the art of technical analysis and chart interpretation.
As a software engineer, Aayush harnesses the power of technology to optimize trading strategies and develop innovative solutions for navigating the volatile waters of financial markets. His background in software engineering has equipped him with a unique skill set, enabling him to leverage cutting-edge tools and algorithms to gain a competitive edge in an ever-evolving landscape.

In addition to his roles in finance and technology, Aayush serves as the director of a prestigious IT company, where he spearheads initiatives aimed at driving digital innovation and transformation. Under his visionary leadership, the company has flourished, cementing its position as a leader in the tech industry and paving the way for groundbreaking advancements in software development and IT solutions.

Despite his demanding professional commitments, Aayush is a firm believer in the importance of work-life balance. An avid traveler and adventurer, he finds solace in exploring new destinations, immersing himself in different cultures, and forging lasting memories along the way. Whether he's trekking through the Himalayas, diving in the azure waters of the Maldives, or experiencing the vibrant energy of bustling metropolises, Aayush embraces every opportunity to broaden his horizons and create unforgettable experiences.

Aayush's journey to success is marked by a relentless pursuit of excellence and a steadfast commitment to continuous learning and growth. His academic achievements are a testament to his dedication and passion for excellence, having completed his software engineering with honors and excelling in every department.

At his core, Aayush is driven by a profound passion for analyzing markets and uncovering profitable opportunities amidst volatility. Whether he's poring over price charts, identifying key support and resistance levels, or providing insightful analysis to his clients and followers, Aayush's unwavering dedication to his craft sets him apart as a true industry leader and a beacon of inspiration to aspiring traders around the globe.

In a world where uncertainty reigns supreme, Aayush Jindal stands as a guiding light, illuminating the path to financial success with his unparalleled expertise, unwavering integrity, and boundless enthusiasm for the markets.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

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