Ethereum, the second largest cryptocurrency by market capitalization, strains below $1,350, a price ceiling. Although, It is currently trailing stably above $1,260, its nearest support region. However, analysts opined that, for a tempered upward flip, it must break out above $1,400.
Ethereum Meets Resistance
Ethereum dived shortly after merging alongside other digital assets. Then, it dropped from a level above $1,700 to hovering over $1,260. However, it has frequently collided with $1,350 during succinct rallies without luck breaking out.
The 100 simple moving average on the hourly time frame also falls near $1.3k. Kraken identified a down trending line constituting a demur close to the zone.
Last week, ETH was as low as $1,229 before rebounding upward. The price is currently trying to push above $1.3k and maybe, gain enough strength to beat its closest opposition at $1,350. It is still near Fibonacci’s fifty percent optimum entry point.
The first price ceiling is poised at $1,320, close to the 100-day simple moving average. The SMA is also close to Fibonacci’s sixty-seven percent OTE or retracement.
Another strong resistance stands at $1,350 on the one-hour time frame. In the same time frame, the price formed a bearish trend line.
ETH/USD price chart: Source TradingView
What Happens Above $1.4k?
However, if Ether can extend above $1,350, there is a chance it will touch $1.4k. This level is a pivot point for the price, say analysts. A break above $1.4k could send the price farther upward.
With increasing buying volume, the price could smash the $1.5k range if it beats preceding resistances.
The first one lies at $1,420, which is not strong. So, the price can easily break through it. Another is at $1,450, which is a solid resistance level. If the price crushes that, it will head next to $1.5k.
With a break above $1.5k, it won’t be long before the price would land at $1.6k. However, there are still a few pivotal zones between both levels. While a flip above $1.6k would convert it into support, the price might meet a hurdle at $1,630.
If it clears that zone, it could rally to $1,645, where it will run into resistance. Nevertheless, it could easily uptick further up to $1,680. Price consolidated around this zone after falling below $1.7k before Ethereum’s upgrade.
So, traders consider it a notable spot for the price. It will require sufficient buying strength to push ETH above $1,680. But if it managed to break above it, its next stop is slightly above $1.7k.
Conversely, if Ethereum receives another pushback at $1,350 so that it dips instead, the price will drop further. While $1,288 might hold as a support zone, it will likely burst lower to the next floor. The next floor is $1,270.
Furthermore, a break lower than $1,270 will send it to $1,220. At this point, bears would have assumed preeminence over Ethereum. In their wake, ETH would plunge further unless it receives support at $1,150 or $1k.
At press time, Eth was trading at $1,313.13.
