The price of Ethereum has been stable for about a month, fluctuating between $1680 and $1500. However, as market bearishness grows, the price of ETH has been moving in an extended sideways pattern, which suggests market players’ hesitancy.
The $1680 breakthrough will free the price of Ethereum from current consolidation.
Ether’s intraday trading volume is $10.8 billion, representing an 18% increase.
The price movement of the Ethereum token over the past three months has formed a cup and handle pattern. According to theory, the pattern begins with a cup-shaped recovery in the form of a u-shaped recovery, and is then validated by a brief consolidation phase dubbed the handle above the previously recaptured upper levels.
The Ethereum price reversed from the pattern’s neckline resistance of $1680 during the most recent sell-off in the cryptocurrency market. As a result, the cryptocurrency lost 10% of its value and returned to the $1500 local support. At the time of publication, the price of ETH is $1524 and is still circling above the $1500 support.
Additionally, the development of an inside day candle, a bullish reversal sign, suggests a greater likelihood of a positive price reversal. The sideways trend may continue as a result of this bullish turnaround, but buyers will be ready to test the $1680 neckline again.
The ETH price should finally break through the neckline resistance in reaction to the aforementioned pattern to indicate the restart of the recovery rally. The price might reach the following goals during the post-breakout rally: $1788, $1900, $2000, or $2300.
Technical metric
EMAs: As the $1500 level approaches, the 50- and 200-day EMAs will provide further support, halting further decline.