Ethereum Price Analysis: Here is the Next Probable Target for ETH

Ethereum’s price shows signs of strength, with a slight rebound after retesting the $3.5K support level. While the price is poised to challenge the $4K resistance soon, periodic consolidations within the $3.5K to $4K range are likely as the market digests recent gains. Ethereum Price Analysis By Shayan The Daily Chart Ethereum’s upward trajectory has faced a pause after an impressive surge above the $3.5K resistance level. This breakout was a significant milestone, but the subsequent loss of bullish momentum led to a consolidation period, returning to the $3.5K mark. This pullback has triggered renewed buying interest, leading to a slight rebound that demonstrates the market’s intention to sustain its upward movement. However, the bearish divergence in the RSI indicator suggests a weakening bullish momentum. It indicates that Ethereum might face a mid-term consolidation correction phase before resuming its climb. As the price progresses toward the $4K psychological resistance, periods of reduced volatility and retracements are expected. Source: TradingView The 4-Hour Chart During the 4-hour timeframe, Ethereum’s bullish strength remains evident, with its breakout above the ascending wedge pattern and the critical $3.5K resistance level. The price’s pullback to this region and subsequent rebound confirm the continuation of the uptrend toward the $4K mark in the mid-term. However, the bearish divergence between the price and the RSI indicator on the 4-hour chart suggests increasing seller activity and waning bullish momentum. This scenario implies that while the price will likely move toward the $4K mark, it may face periods of sideways trading and minor corrections within the $3.5K-$4K range. Such movements would allow the market to consolidate before another impulsive move. Source: TradingView Onchain Analysis By Shayan Ethereum’s price has rebounded at the critical $3.5K support level, maintaining its bullish trajectory. However, while price action indicates potential upward movement, the futures market metrics reveal an alarming divergence that could significantly influence market dynamics. The open interest metric, which tracks the total number of open perpetual futures positions across all exchanges, has reached a new all-time high. This spike suggests unprecedented speculative activity in Ethereum’s derivatives market. Interestingly, this surge in open interest is occurring without a corresponding new all-time high in Ethereum’s price. This divergence raises concerns of increased volatility and substantial liquidation cascades. If the price faces a sudden downturn or consolidation, the overleveraged positions in the Futures market could trigger a wave of forced liquidations, leading to rapid price declines. Source: CryptoQuant The post Ethereum Price Analysis: Here is the Next Probable Target for ETH appeared first on CryptoPotato .