Ethereum (ETH) price bursts out of a sideways chart structure, consequently raising concerns for IMF towards the mass adoption of cryptocurrencies and how they could negatively affect world economies. Another interesting one for the crypto industry is Visa’s announcement of its blockchain interoperability hub to facilitate crypto payments.
Let’s analyze the ETHUSDT price charts to see how the price reacts to this news, starting with the daily time frame.
Ethereum (ETH) Daily Chart Analysis
The 07 September price plunge quickly showed liquidation of highly leveraged positions and consequently a price breakdown of the symmetrical triangle chart structure on 20 September ’21. The decline in ETH price on the daily time frame resulted in a bear trap market structure on the weekly chart on 27 September ’21, which also put the daily time frame into a consolidation phase, ready for an explosion of the ETHUSDT to the upside.
After the bearish inside bar resistance 2967.52 gave in to demand on 25 Sep ’21, the bulls priced the smart contract and DeFi cryptocurrency to enter at a discount.
More buy orders came streaming in, after another breakout above classic inside bar candlestick resistance [$2950.00] on 30 September ’21, which finally led to an exit of the sideways channel $3174.50 and $2652.00.
Ethereum (ETH) 4HR Chart Analysis
Regular and hidden bullish divergence patterns on 21 September 20:00 and 26 September 04:00 established two solid buy walls [$2652.00 and $2738.17] that the bears could not dare to breach.
The relative strength index clear sets higher peaks and valleys, after a final break of the $3174.50 resistance on 01 October 12:00.
Although the market maintains a bullish outlook on the 4HR time frame, a regular bearish divergence at press time could potentially bring a correction in the ETHUSDT uptrend.
A correction of the uptrend is anticipated, which should pave way for new buyers to enter into the uptrend of the ETHUSDT. We should see a sharp surge in ETH price if the bears fail to close below the $3257.00 support.
Ethereum (ETH) Intraday Levels
- Spot rate: $3368.73
- Mid–Term Trend [H4]: Uptrend
- Volatility: High
- Support: $2652.0, $2738.17, and $3257.00
- Resistance: $1.7707, $1.8570, and $2.3242
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.