Ethereum Is Consolidating and Following the Trend of Bitcoin
Ethereum is a decentralized financial system for deploying applications securely. It is also a cryptocurrency platform. Users can sign up and use the Ethereum account for transactions. It uses Merkle trees to improve scalability and secure blockchains.
ETH is the cryptocurrency of Ethereum, and many people compare this with Bitcoin. BTC and ETH are the top two cryptocurrencies in the world. You can use them to transact money in other countries without the help of financial institutions.
At the time of writing, the price of Ethereum is around $4365. It is bearish in the daily chart. After reaching the ATH of $4900, it is now consolidating. Like Bitcoin, it is also correcting the price. It started its bullish phase on 30 September 2021 and started consolidating from the second week of November. Now it is standing on its previous support of $3900.
While writing this analysis, RSI is at 50, which is stable, but we cannot get any direction from this only. MACD is bearish, and the blue line is far lower than the red line, but it also shows a good volume. The Bollinger Band is also bearish because the last few candlesticks are in the lower half of BB. Moving Average line is also reflecting negativity. Overall, all of them are showing sell signals.
Will ETH continue its upside journey? The present daily chart pattern shows that it may correct down for a few days more. Many experts are of the opinion that many governments bring new laws to regulate cryptocurrencies. It is one of the reasons for the market’s downfall.
Indeed, it brings more buying opportunities. Ethereum is the most popular cryptocurrency after Bitcoin, and it will create a new ATH very soon.
It is now consolidating between the range of $3950 and $4450. We do not think it is the right time to invest in ETH. According to our complete Ethereum price prediction, it is time to keep a close eye on all the crypto prices. If it breaks any of these levels, then we should think about fresh buying and selling.