The Ethereum price has closed higher in 9 out of the last 10 days. But ETH is now facing two crucial moving averages. What happens next is key for Ethereum.
Ethereum is trading at $2,262, down $60.66 (-2.57%).
For the majority of June, Ethereum was under the cosh. But last week, ETH finally managed to post a green candle on the weekly chart. Moreover, Friday’s closing price marked an almost 18% gain for the 7-day period.
Although the Ethereum price is still trading 51% below May’s $4,646, all-time high, the bulls will take what they can get. Considering ETH was trading below $1,700 on the 26th of June, the price performance in the last two weeks is impressive. However, Ethereum has now run into the 50, and 100-day moving averages. And how the price reacts here will dictate whether the bull market is making a comeback or not.
ETH price forecast
The daily chart shows that Ethereum has had its best trading streak since May’s crypto collapse. Furthermore, there are some encouraging signs that the worst of the selling is over. For instance, ETH bounced from just under $1,700, which has created a bullish triple-bottom formation on the daily chart.
Additionally, the bounce has lifted the Ethereum price clear of the 200-day moving average at $2,001. Moreover, after trading to $2,352 on the 1st of July, ETH retraced to the 200 DMA before bouncing. This is surely a positive sign and suggests buyers are now present below the market.
However, ETH has failed to close above the 50 DMA at $2,368 and the 100 at $2,344. If, or when it does, this would certainly reinforce the belief that the bulls are back in charge. In this event, Ethereum would target the downtrend resistance at $2,520, with an ultimate goal of $3,020.
The outlook remains favourable as long as the price remains above the 200 DMA at $2,001. Should ETH lose this support, the bullish thesis becomes invalid.
Ethereum price chart (Daily)
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