As cryptocurrency becomes increasingly popular, Ethereum has proven to be a strong competitor in the digital currency market. Ethereum has surged in popularity in recent years and is now the world’s second-largest cryptocurrency by market capitalization, behind only Bitcoin.
ETH price is currently consolidating above the $1,730 level against the US Dollar, moving higher above the $1,700 resistance level. It is currently trading above $1,700 and the 55 simple moving average (4-hours) and could climb further if it stays above the $1,660 support zone.
Over the past few days, Ethereum has seen a decent increase above the $1,600 level against the US Dollar. ETH price was able to gain pace for a move above the $1,660 level and the 55 simple moving average (4-hours). The bulls even pushed the price above the $1,730 resistance zone.
Finally, the price spiked above the $1,800 level and tested the $1,850 resistance zone. A high is formed near $1,846 and the price is now correcting gains. There was a minor decline below the $1,800 level. Ether price declined below the 23.6% Fib retracement level of the upward move from the $1,613 swing low to $1,846 high.
It is now consolidating above $1,700 and the 55 simple moving average (4-hours). There is also a key bullish trend line forming with support near $1,730 on the 4-hours chart. An immediate resistance on the upside is near the $1,790 level. The next major resistance is near the $1,850 zone and the last swing high.
A clear move above the $1,850 level could send the price towards $1,920. Any more gains could even send the price towards the $2,000 resistance zone or $2,120 in the near term. On the downside, an initial support is near the $1,730 level and the trend line. The next major support is now near the $1,700 level.
A break below the $1,700 support could push the price to $1,660 or the 50% Fib retracement level of the upward move from the $1,613 swing low to $1,846 high. Any more losses could lead the price towards $1,550.
Looking at the chart, Ethereum price is clearly trading above the $1,700 zone and the 55 simple moving average (4-hours). Technical indicators show the MACD for ETH/USD is now losing momentum in the bullish zone while the RSI for ETH/USD is now above the 50 level.
In the big picture, Ethereum is becoming increasingly attractive to investors looking to diversify their portfolios. As an open-source, blockchain-based distributed computing platform, Ethereum is designed to facilitate smart contracts, which are essentially self-executing agreements that can be programmed to automate transactions and process information.
The future of Ethereum looks bright as more and more investors seek out cryptocurrencies as a hedge against inflation and a way to diversify their portfolios. With its strong market position, robust technology, and growing adoption, Ethereum is poised for continued growth and success in the world of cryptocurrency.
