The price of Ethereum (ETH) registers handsome gains in the late evening session. The pair opened lower, but as the days went on, investors became more convinced and the pair reached an intraday high of $3,150.68. ETH found reliable support near $2,830 and recovered losses against the US dollar.
Ethereum (ETH) price extends gains from the previous session on Tuesday. ETH slashed above the 50-day Simple Moving Average (SMA). The momentum oscillators indicate the underlying bullish flow.
Ether, the original currency of the Ethereum blockchain, finally broke its nine-week outflow period with $21 million inflows last week according to digital asset manager CoinShares. Experts believe that the increased value of net inflow data is reassuring to institutional investors who benefit from the accumulation of assets at these prices.
Etherum Continues Upward Momentum
On the daily chart, Ethereum (ETH) is making a significant price recovery from the swing lows of $2,159.0 with a rise of 52%. The price is trading just above the 50-day Simple Moving Average (SMA) at $3,081.33.
Source: Trade View
Bulls show full conviction, judging by the above-average volumes. Immediate resistance is placed near the bearish trendline at $3,400. The bearish tumbling line extends from the highs of $4,867.81 made on Nov. 10.
This level is just below the pivotal 200-day SMA at $3,573.0. In addition, an acceptance above the critical moving average could initiate another round of buying opportunities. In that scenario, ETH could surpass the $36,000 levels.
Alternatively, if the price fails to hold the session high, a downside break below USD 2,830 could push the price towards the USD 2,500 level.
RSI: The Daily Relative Strength Index (RSI) is gaining speed in the bullish zone.
MACD: The Moving Average Convergence Divergence (MACD) is holding above the midline with an underlying bullish flow.
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This post Ethereum (ETH) Price Forecast: ETH Rising Towards $3,400, Downside Risk Remains Limited
was published first on https://coingape.com/markets/100846-2/