Ethereum Builds Support Above 2k as Altcoins Gain Traction
The crypto market just passed $2 trillion of market cap thanks to a broad rally in altcoins. Now the top altcoin, Ethereum, may be poised for a move to new highs.
The most important feature on ETHUSD’s chart is its breakout above the February high around $2,000, followed by a brief retest and tight consolidation pattern. Old resistance appears to be new support.
Second, looking back to recent price action we find a pair of higher lows. Price first held the $1,400 zone that was previous resistance. It next clawed back from a dip below $1,600. That’s a textbook ascending triangle.
Third, MACD has turned positive as ETHUSD powered back above its 50-day simple moving average and 21-day exponential moving average early last week.
Zooming in on the four-hour intraday chart, we also find a volatility squeeze. Notice how Bollinger Bandwidth is back near the bottom of its 2021 range around 7 percent. That’s not necessarily bullish, but it could suggest ETHUSD is coiling for a move.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
The most important feature on ETHUSD’s chart is its breakout above the February high around $2,000, followed by a brief retest and tight consolidation pattern. Old resistance appears to be new support.
Second, looking back to recent price action we find a pair of higher lows. Price first held the $1,400 zone that was previous resistance. It next clawed back from a dip below $1,600. That’s a textbook ascending triangle.
Third, MACD has turned positive as ETHUSD powered back above its 50-day simple moving average and 21-day exponential moving average early last week.
Zooming in on the four-hour intraday chart, we also find a volatility squeeze. Notice how Bollinger Bandwidth is back near the bottom of its 2021 range around 7 percent. That’s not necessarily bullish, but it could suggest ETHUSD is coiling for a move.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
