Ether rallied more than 5% yesterday to hit the $ 2,000 level again. The token is now just below this significant level.
The market for crypto-currencies behaved well yesterday with the Bitcoin which exceeded the level of $ 30,000 to move again above $ 32,000 and Ether which jumped more than 5% after the losses recorded on Tuesday.
At the end of the day on Wednesday, theETH traded at $ 1,996 per token, as it started the day on a bearish tone, falling to an intraday low of $ 1,754.27 before the rise began. ETH managed to steer clear of the 62% Fibonacci retracement at $ 1,725 and its first major support level at $ 1,724. The rise took Ether to a late intraday high of $ 2,033.16.
Although it is back below the $ 2,000 level as of this writing, Ether looks set to recover, especially if it enjoys support from the cryptocurrency market.
#Bitcoin is getting into this range, which we’ve been acting in for days.
Resistance of that range seems to be approaching.
– Michaël van de Poppe (@CryptoMichNL) July 21, 2021
ETH Price Outlook
The ETH / USD 4 hour chart is very bullish at the moment with general market momentum expected to push it higher in the next few hours. ETH should stay clear of the pivot point at $ 1,928 to break through the first major resistance level at $ 2,102.
If ETH receives support from the cryptocurrency market, it could surpass Wednesday’s high of $ 2,033.16 and possibly hit $ 2,050. Barring a prolonged market rally, the first major resistance level is likely to limit further upside.
ETH / USD chart. Source: Coinalyze
However, if the cryptocurrency rises with the market supporting, Ether could touch resistance at $ 2,250 before a pullback. The cryptocurrency’s second major resistance level is located at $ 2,207.
On the other hand, if Ether drops below the $ 1,928 level, the bulls will be forced to defend the next major support level next at $ 1,823. Barring a massive sell off, Ethereum should stay comfortably away from the 62% Fibonacci retracement level at $ 1,725, with the second major support level currently sitting at $ 1,649.