ETHEREUM PRICE ANALYSIS CMP-$1590: ETH Price Hints at a Correction

ETH price rally since Sept. 12 faltered at $1,650 resistance

Despite the prevailing bearish sentiment in futures markets and among traders, Ethereum's recent price action presents a glimmer of hope for a potential short-term reversal aimed at reclaiming the 200-day moving average. The enthusiasm to purchase during price dips, coupled with the prospect of a relief rally, has significantly waned since the month of June.

On The Daily Chart:

Ethereum is trying to recover from $1,560 against the US Dollar but may struggle to surpass $1,600. The recent decline took ETH below $1,620 and $1,600, reaching a new weekly low at $1,563. Unlike Bitcoin, Ethereum started a short-term upside correction, briefly surpassing $1,580 and the 50% Fib retracement level. However, resistance remains strong near $1,600, and breaking the 76.4% Fib retracement level is proving challenging. Ether is currently trading around $1,590, close to the 100-hourly Simple Moving Average.

On The 4-Hour Chart:

Ethereum has been trading between $1600 and $1560 for the past four days. On the 4-hour chart, it formed a wedge pattern with lower lows and lower highs, indicating a potential trend reversal. However, the trend won't change until Ethereum breaks above the resistance trendline. If bulls manage to surpass the 100-hourly moving average and the psychological level of $1600, we may see Ethereum reaching $1700-$1800.

According to Coingabbar Price Analysis, Ethereum's market capitalization is currently valued at $191,343,027,526. The projected 24-hour trading volume is estimated to be around $5,505,617,699.

KEY LEVELS :

RESISTANCE LEVEL : $1,610-$1,650

SUPPORT LEVEL : $1,560-$1,530

Is Ethereum poised for a short squeeze with its open interest surging to $5 billion, and is the $1.7K mark the primary bullish target? Has Ethereum (ETH) dipped below $1,600, and is there a possibility of Vitalik Buterin selling 400 more ETH tokens? Will Ethereum manage to reverse its trend against Bitcoin?Please share your opinions in the comment section below.

Disclaimer: Crypto is not regulated and can offer considerable risks. There may be no regulatory remedies available in the event of any losses resulting from price analysis. As a result, before engaging in any transactions involving crypto products, each investor must perform in-depth examination or seek independent advice.