Tracking Ethereums [ETH] Possibility to continue rising after recent gains

warning: The results of the following analysis are the author’s opinions only and should not be considered investment advice.

  • Ethereum’s recent reversal from resistance indicated the ease of buying pressure.
  • The altcoin has seen a huge drop in its daily active users over the past day.

Ethereum [ETH] It posted double-digit gains over the past week after exiting its triple structure. The resulting slope above the Bollinger Bands (green) baseline (BB) placed the altcoin near its upper band to depict the buying advantage.

Here AMBCryptos Ethereum Price Prediction [ETH] for the year 2023-24

If the recent reversal from its spot ceiling continues, ETH could see a short-term dip before a possible reversal. At press time, ETH is trading at $1,499.46, down 3.1% in the past 24 hours.

ETH has had a choppy bullish breakout, can buyers maintain their advantage?

Source: TradingView, ETH / USDT

After breaking the rising wedge on the daily time frame, bears on ETH have consistently shown their willingness to counter buying efforts at the seven-month trendline resistance (white, dashed).

As a result, ETH has looked south as it struggled to swing above the $1,560-1,600 range, and the recent price action triggered a symmetrical triangle breakout after a sharp uptrend. While the resistance area was stationary, the king could see a series of red lights.

This decline may open the gates for a retest of the $1440 level in the coming hours. Any dip below this level could cause sellers to pull ETH towards the $1380 support level. Buyers can then aim to look for a near-term recovery.

On the other hand, an immediate recovery above the upper band of BB will confirm bearish reversal. For this, buyers need to break the $1,600 ceiling limit.

Volume (OBV) showed a downtrend after lower tops diverged with price action. In addition, the Relative Strength Index (RSI) has reversed from the overbought zone to show ease in buying pressures.

Low exchange flows along with daily active addresses

Source: feeling

The daily active headlines of the King’s cryptocurrency have fallen sharply in the past 24 hours. The last time the number of active titles dropped to such low levels was in October 2020.

In addition, price action generally tends to indicate a decline after the exchange inflows peak. However, after the recent increase in this metric, ETH has seen a massive rally in price over the past few days.

If these values ​​represent a primary selling advantage, the price action could see an extended decline before a reversal. Finally, Investors/Traders Need to Pay Attention to Bitcoin [BTC] a movement. This is because ETH shares an 89% 30-day correlation with Coin King.

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