CryptoSignals News
Join our Telegram

Ethereum (ETH/USDT) Poised for a Rebound or Further Consolidation?

Estimated Reading Time: 3 minutes

Article Rating:
Based on 1 vote
Login to rate this article.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you are unlikely to be protected if something goes wrong. Take 2 minutes to learn more

Ethereum (ETH/USDT) Poised for a Rebound or Further Consolidation?

The market for Ethereum against Tether has faced a significant pullback after hitting a new high some weeks ago, creating a cautious sentiment around the pair.

Recently, Ethereum’s price sought to break above the $4,200 level after a fall from the $4,500 region. However, the pair has met strong selling pressure, leading to the current operation below the $4,100 region. As it stands, the Stochastic RSI suspends at the oversold region, suggesting that with the return of bullish momentum, Ethereum has a high tendency of breaking upside.

Currently. Ethereum trades at $4,000 with more than 394 thousand traded volumes for the day.

Ethereum (ETH/USDT) Poised for a Rebound or Heading for Further Consolidation?
ETHUSDT-Daily Chart

Technical Indicators

Major Resistance Levels: $4,100, $4,200, and $4,350

Major Support Levels: $3,950, $3,800, and $3,500

Ethereum Technical Analysis

Technically, Ethereum against Tether is currently sitting below $4,050, a level slightly near the Guppy Multiple Moving Averages (GMMA). This suggests the pair is in a corrective phase, and a move above the immediate resistance would signify a rebound. Also, from a fundamental angle, Ethereum has seen a lot of liquidated long positions recently, and the ETF demand appears not to be doing too well, increasing selling pressure in the market.

Moreover, the signal from the volume side of the trade in recent days shows that the pair lacks the necessary propelling force for either side to break out. However, if the bullish participation increases in the near term, the $4,000 may serve as a stronghold for a move to the north.


Meanwhile, @Tedpillows has revealed the nature of Ethereum’s current downtrend, stating in a post above that $3,800 may likely be retested, and failure to hold above this level may attract further correction towards $3,500.

ETH/USDT Analysis: Can the $4,000 Support Hold, or Is Further Downside Ahead?

On the 4H chart, ETH/USDT has also encountered a significant pullback with a drop towards $4,000. The GMMA indicator suggests the market is in a short-term bearish condition, as the short-period EMAs appear to be below the long-period moving averages, indicating a weaker momentum.

From another angle, the Stochastic RSI operates under 20-mark, signaling that the pair is in an oversold condition, with a high probability of rebound as time goes on. To this end, everything revolves around the $4,000 level; a bounce above this level would indicate a move to the north, while a break below this level would indicate a further dip towards $3,800.

Ethereum (ETH/USDT) Poised for a Rebound or Heading for Further Consolidation?
ETHUSDT-4H Chart

 

You can purchase crypto coins here. Buy Crypto

Recent News

December 07, 2022

Bitcoin (BTC/USD) Trade Gravity Recesses at $17,000

Bitcoin Price Prediction – December 7In the way of a continual inactivities outlook between buying and selling actions in the BTC/USD market operations over time, the crypto trade gravity is currently recessing around the $17,000 zone. Price is at $17,025.24 between the high and the low-value point...
Read More

Join Our Free Telegram Group

We send 3 VIP signals a week in our free Telegram group, each signal comes with a full technical analysis on why we are taking the trade and how to place it through your broker.

Get a taste of what the VIP group is like by joining now for FREE!

arrow Join our free telegram