Ethereum’s Price Action Faces Choppy Waters, But Support Levels Remain
Ethereum’s price action has been choppy in recent weeks, with the cryptocurrency facing rejection from a significant resistance. However, there are multiple levels that could provide support and hold the price in the event of a deeper pullback.
According to technical analyst Edris, on the daily chart, the price was rejected from the $1800 level and the higher boundary of the large symmetrical triangle pattern earlier in February. It has since broken below the 50-day moving average, located around the $1600 mark.
Currently, the price is consolidating below the broken MA and is yet to show an impulsive move after the bearish breakout. If the cryptocurrency fails to reclaim the broken 50-day moving average, the 200-day moving average, trending around the $1400 level, could be the next support, followed closely by the $1300 static zone.
On the other hand, a break back above the 50-day moving average could signal a bullish move towards the $1800 resistance level once again.
Despite the choppy waters, Ethereum remains a popular cryptocurrency among investors and traders alike. Its decentralized platform allows for the creation of smart contracts and decentralized applications, making it a valuable asset in the world of blockchain technology.
As always, investors and traders should exercise caution and do their own research before making any investment decisions. The cryptocurrency market is notoriously volatile, and prices can fluctuate rapidly. However, with support levels in place, Ethereum’s price action may stabilize in the coming weeks.
