Ethereum Eyes $ 2,850 rally, but analysts warn against potential decline

In the middle of his recent escape, Ethereum (ETH) recovered a crucial fork lost in the first quarter, preparing to go up to the intermediate zone of this area. However, various analysts provide potential volatility for the King of Altcoins, because it faces a certain resistance to current levels.

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Ethereum to exchange laterally before the next jump

After increasing almost 45% last week, Ethereum recovered its macro range from 2,200 to $ 3,900 lost in March. During the market pump at the end of April, the cryptocurrency recovered from its $ 1,380 low, jumping to the resistance of $ 1,800 before released last Thursday.

ETH has passed the resistance of $ 2,000 and found the crucial levels of $ 2,100 and $ 2,300 before releasing the resistance of $ 2,600 during the weekend. Since then, the King of Altcoins has oscillated between the price range from $ 2,400 to $ 2,600, reaching a maximum of $ 2,624 on Monday.

Market Watcher Castillo Trading stressed that Ethereum “does exactly what it should be. Take a while to build a base at high levels before the next move ”.

The analyst said that the $ 2,400 zone at $ 2,700 will probably be the ETH trading range for the coming days after his low beach retest as a support, with “a few shakeouts in the two directions before continuing his next step”.

Likewise, Daan Crypto Trades noted that the current level of cryptocurrency is important because it could determine its short-term direction. According to the trader, Ethereum could drop $ 2,300 or less the support level of $ 2,100 if it loses the key area. “In this case, you can simply wait for a consolidation to be formed at these levels,” he said.

On the contrary, if ETH exceeds the resistance of $ 2,600 and the price continues to rise, the current level can “become a good retest of the horizontal”. In particular, the next crucial horizontal level is around the beach from $ 2,850 to $ 2,900, a significant support and resistance area in the middle of the third quarter 2024 decline and the Q4 2024 break.

Does a decrease or a shaking 15% arrive?

Analyst Rekt Capital stressed that Ethereum obtained a key weekly closure after the week’s fence at $ 2,514 and officially recovered its macro range. According to the analyst, history suggests that the ETH “will probably rise on the beach” over time, while “any drop, if necessary, will only consolidate $ 2,200 as a small content submission”.

He stressed that the recent weekly fence occurred at the top of a crucial cluster, allowing a scenario where “just a small box would be enough, if the surrounded green is repeated here at ~ $ 2468 (black)”.

However, if this level is lost, ETH could see a decline from 10% to 15% to the bar from $ 2,200 to $ 2,100. Rekt Capital also pointed out that the second largest crypto by market capitalization managed to fill the $ 2,530 to $ 2,630 CME daily, created in March.

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In the middle of its breakthrough, ETH also formed two small CME shortcomings at $ 2,300 at $ 2,400 and $ 2,100 to $ 2,200, which could be closed soon. The first is the “larger soaking area, because it is also a weekly CME gap”.

In addition, he said that Ethereum intended to fill his macro CME gap, between $ 2,900 and $ 3,350, reporting that an increase to these levels could be in advance.

To date, Ethereum is negotiated at $ 2,597, an increase of 5% of the daily period.

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