The dust appears to have settled in the cryptomarket as investors seek to buy the dip following the bearish waves on Monday. BTC has recovered to $35K while the second-largest cryptocurrency, Ethereum is in anticipation of a further upside move after regaining the ground above $1,000. Ethereum topped at $1,350 on January 10th and started the downside correction to reach lows of $905 on December 11th. Rebound ensues on ETH/USD from $905 lows to reach intraday highs of $1,150 as the broader market recovers. Ethereum’s total market cap now stands at $123 billion with a trading volume of $43.7 billion in the past 24 hours. At the time of writing, Ethereum is exchanging hands at $1,075 gaining 7.64% on the daily and 3.16% weekly. ETH price remains bullish amid increasing Ethereum Whale accumulation. Recent data from crypto quant indicated that from Jan. 4 to Jan. 11, exchanges faced net withdrawals of 460,000 ETH. This move signals a potential accumulation from Whales either transferring to cold wallets or putting these coins into the DeFi ecosystem.
*Ethereum topped at $1,350 on January 10th and started the downside correction to reach lows of $905
*Ethereum is exchanging hands at $1,075 gaining 7.64% on the daily and 3.16% on weekly
*ETH price remains bullish amid increasing Ethereum Whale accumulation
Resistance Levels: $1,450, $1,350, $1,200
Support Levels: $1,000, $900, $750
ETH/USD Daily Chart: Bullish
ETH/USD Daily Chart
Ethereum losses were quelled at $905 and the price attempted to rise past intraday highs of $1,150. If the bulls can push the price above $1,260, the ETH/USD pair could retest prior highs of $1,350. The bears may try to pose a stiff challenge at this level but when crossed, the momentum could pick up and the pair could rise to $2,000.
On the contrary, a price rejection from current levels may lead to consolidation for a few days. if the bears sink the price below the $905 support, the next stop is $800 and if this support also cracks, the decline may extend to the MA 50 at $723. The RSI in the positive territory suggests the bulls still have some advantage.
ETH/USD 4-Hour Chart: Ranging
ETH/USD 4-Hour Chart
The ETH/USD pair attempted a rise past the 4 hour MA 50 situated at $1,155 but the bears again stepped in and sold the relief rally. On the upside, the seller congestion at the MA 50 may cause some delays to the bulls. Reclaiming the support above $1,100 remains the bulls’ priority in the near term as this could pave the way for gains eyeing $1,200 and $1,450, respectively.
On the other hand, price action under $1,100 would be a significant hindrance to the recovery mission. If ETH closes the day under this level, selling activities may surge, culminating in losses toward $1,000 and then $900. If these supports cave in, ETH may seek the next buyer congestion at the MA 200 close at $790. The ETH/USD pair is only bullish while trading above the $1,100 mark, key resistance is found at the $1,200 and the $1,350 levels.
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