Ethereum has just surpassed the important resistance range from 3,900 to 4,100 USD, opening up short-term bullish prospects.
The support range from 3,900 to 4,100 USD is currently a critical level to monitor. However, technical indicators like the bearish RSI divergence warn of a potential short-term correction before the uptrend continues.
MAIN CONTENT
Ethereum maintains the 3,900-4,100 USD support level after a strong breakout.
The Bitcoin Dominance index can negatively impact altcoins in the short term.
A bearish divergence appears on the ETH and ETH/BTC charts, forecasting a short-term correction.
Which resistance level has Ethereum broken and what does it mean?
Ethereum has just closed three consecutive daily candles above the resistance range of 3,900-4,100 USD, indicating strong buying power and positive bullish signals.
Maintaining this level helps strengthen the long-term uptrend. This indicates that upward momentum may continue if this support level holds. There are no specific data from external sources, but technical analyses are generally positive if the price does not drop sharply.
What is the important support level of Ethereum currently?
The support range from 3,900 to 4,100 USD is currently a key price level. If Ethereum holds above this range, the breakout is still considered valid, and the uptrend may continue.
Conversely, if Ethereum closes below 3,900 USD, the breakout potential may be broken, putting pressure on buyers from the high price range. This could create a 'price trap' for investors, causing them to close their positions or be more cautious in upcoming trades.
How does Bitcoin Dominance affect Ethereum?
Bitcoin Dominance is holding an important support level around 60.5%. If this index rebounds, pressure may build on altcoins like Ethereum.
Technical signals suggest a bullish divergence may appear in Bitcoin Dominance. This implies that in the short term, Ethereum and other altcoins may face correction pressure as capital could flow strongly back to Bitcoin.
Ethereum may face technical selling pressure in the short term before confirming a new uptrend.
Cryptocurrency market analyst, June 2024
What does the bearish divergence on the Ethereum chart warn of?
On the daily chart of Ethereum, a bearish divergence appears when the price makes higher highs but the RSI makes lower highs.
This phenomenon often signals an upcoming weakness in price, potentially causing a small correction lasting a few days. Additionally, a similar bearish divergence is observed on the ETH/BTC chart, forecasting that Ethereum may underperform Bitcoin in the coming week.
What is the short-term price forecast for Ethereum?
If the bearish divergence is confirmed, Ethereum may adjust back to the 3,900-4,100 USD support range to retest this price level.
Meanwhile, this corrective move could help strengthen the long-term growth structure if the support level holds. Investors should note that the short-term trend may decline for a few days, but the breakout opportunity still exists if the support is not broken.
Frequently Asked Questions
What price level does Ethereum need to hold to confirm the uptrend?
Ethereum needs to maintain a close above the 3,900-4,100 USD range for the breakout to be considered valid and for the uptrend to continue.
How does Bitcoin Dominance affect Ethereum?
An increase in Bitcoin Dominance can attract capital back to Bitcoin, putting downward pressure on Ethereum and other altcoins in the short term.
What is bearish divergence RSI on Ethereum?
Bearish divergence is a sign of rising prices but a declining RSI, warning of a potential price correction ahead.
What price level can Ethereum adjust to in the short term?
Ethereum is likely to drop to retest the support range of 3,900-4,100 USD before continuing the main trend.
What to do when a bearish divergence is found on the chart?
Investors should be cautious, consider reducing their positions, or use risk management strategies to limit losses.
Source: https://tintucbitcoin.com/bullish-va-bearish-trong-crypto-la-gi/
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