Ethereum has become impulsive and aggressively broke above $450 level with a bullish gap. Ethereum bulls strike higher but failed to sustain further. Can ETH reach $500 psychological area? What are the charts and technical indicators are saying? Read more to find further insights into today’s ETH/USD Technical Analysis.
September 3, 2020, | AtoZ Markets – Ethereum is currently trading around $425 area and trying to fill up the recent bullish gap. After breaking above $450 resistance level, the bulls pushed the price upside and hit $480 area. Ethereum began a sharp decline after it failed to remain over the $450 support area against the US Dollar. ETH price is probably going to bounce back as long as it’s worth over the $400 support zone. As per the current price action, the price may find support on the dynamic level of 20 EMA in the coming days.
Ethereum Bulls Strike Higher as Investor Are Optimistic
ETH is currently trading around $425 area and trying to decline. The price also broke below the dynamic level of 20 EMA, along with the Kijun line and the Tenkan line on the intraday chart.
Image: Ethereum 4 Hour Chart
According to the 4-hour chart, Ethereum bulls strike higher but failed to sustain further and currently trying to retrace down. As per the current price action, if the price can have an impulsive bearish candle close, the bears may push the price down towards $400 support area in the coming days. In addition, if the price reaches $400 support area and bounces higher with an impulsive bullish candle close, the bulls may recover higher towards $450 area in the days ahead.
Furthermore, the dynamic level of 20 EMA is currently residing above the price. Along with the Kijun line and the Tenkan line. The dynamic level may act as strong resistance to push the price downside. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level.
ETH Bullish Trend May Sustain Towards 2018’s High
Image: Ethereum Daily Chart
According to the daily chart, Ethereum bulls strike higher and currently trading around $425 area. As per the current price action, if the price reaches $400 support area and bounces higher with an impulsive daily bullish candle close, the bulls may sustain the bullish trend towards $450 area as a first target. The second target will be $500 key level if the price breaks above $450 area in the coming days.
Also, the dynamic level of 20 EMA is currently residing below the price, which may act as a strong support to push the price higher. Besides, the MACD lines are currently residing above the 0.00 level, which indicates that bulls are still trying to hold the bullish momentum may recover higher.
To conclude, after an extended period of volatility, ETH was able to break above $400 psychological event level. A daily close is required to identify the definite momentum in the days ahead.