Ethereum’s Monthly Close May Be Sluggish: Here’s When ETH Price May Trigger a Rally to $4500
The post Ethereum’s Monthly Close May Be Sluggish: Here’s When ETH Price May Trigger a Rally to $4500 appeared first on Coinpedia Fintech News
After the revival of a bullish trend following the approval of the spot Ethereum ETF, it appeared that the bears were squashed completely. Nevertheless, the pump failed to lift the levels above $4000, as they appear to have remained stationed at these levels strongly. This compelled the price to lose over 6% of its value and interestingly, the volume also slashed hard and remained below average levels. Having said that, is it possible for the ETH price to revive a bullish trend? Will it ever reach $4500?
The monthly close is on the horizon! Despite this, the markets continue to display their sluggish behaviour. The current trade set-up indicates the bulls and bears are currently inactive, without displaying any major price action. This has raised concerns over the rally heading towards its local support, which may hinder the progress of the rally. However, the long-term price action suggests a bullish continuation but to attract fresh liquidity, a pullback is mandatory.
The ETH price is currently trading above the support zone between $3657 and $3706, with a drop in volume and volatility. The trend has flipped in favour of bears at the moment and moreover, the technicals are also flashing a ‘sell’ signal. The on-balance volume that suddenly soared, seems to be preparing for a bearish divergence. This suggests the rally may soon turn bearish as the negative pressure is slowly accumulating, which may foreshadow lower prices.
On the other hand, the MACD is about to undergo a bearish crossover as the buying pressure appears to have waned to a large extent. This suggests the price may pierce the support zone and test the lower support at $3598. Here’s when a decent influx of buying volume is expected to enter the platform and initiate a fresh upswing beyond $4000, probably in the first few days of June 2024.