The post Is ETH Ready to Challenge $3.5K and $4K After Recent Crash? (Ethereum Price Analysis) appeared on BitcoinEthereumNews.com.

Ethereum recently found stability at the $3K support region after facing substantial selling pressure, leading to a consolidation phase. A golden cross on the daily chart further signals the potential for a mid-term bullish rebound, suggesting optimism in the market’s outlook. Technical Analysis By Shayan The Daily Chart Ethereum’s price action has been marked by increased volatility, particularly after its rejection at the $4K resistance level. This decline pushed the asset below the crucial $3.5K threshold, ultimately finding strong support at the $3K zone. This level holds considerable significance due to the confluence of demand and the alignment of the 100-day and 200-day moving averages. On the other hand, the emergence of a golden cross, where the 100-day MA has crossed above the 200-day MA, further emphasizes a potential shift toward bullish sentiment. However, Ethereum remains confined below the $3.5K resistance, requiring a decisive breakout to catalyze a new upward trend. A successful breach could set the stage for a renewed rally. The 4-Hour Chart On the 4-hour timeframe, Ethereum’s decline from the ascending price channel culminated in a test of the $3K region. This zone is not only psychologically significant but also aligns with the 0.5 ($3.2K) and 0.618 ($3K) Fibonacci retracement levels, reinforcing it as a robust support line. Current price action suggests a potential buildup of buying interest, with this region serving as a critical defense line for bulls. If this support holds, Ethereum is likely to embark on a fresh bullish surge, with targets set toward reclaiming the $3.5K resistance. Conversely, a sudden breakdown below the $3K threshold could trigger a cascade of liquidations, driving the price toward the $2.5K support, marking a deeper retracement. Onchain Analysis By Shayan After Ethereum’s significant correction to the $3K level, the futures market has begun a cooling-off period, raising…

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Filed under: News - @ December 30, 2024 1:24 pm