Ethereum strongly holds the support of $1200: What’s Next?

Ethereum has been in the news this year because of its Merge upgrade. Crypto enthusiasts expect a rally because Ethereum has become the leading energy-efficient decentralized network that runs on a proof of stake consensus with a wide range of use cases. Only a few cryptocurrencies are less affected by the news of the FTX liquidity crunch, and ETH is one such altcoin.

ETHUSD price analysis

At the time of writing this post, ETH/USD is trading around $1280 above the support of $1250. In the first week of November, ETH also saw an outflow, but it regained the previous support level quickly in the second week. The ETH price consolidates between $1200 and $1700. According to the Ethereum forecast, It is a good time to invest with a higher target or hold it long-term.

Ethereum analysis

On the weekly chart, candlesticks have been forming lower highs and lower lows, which suggests a downtrend, but ETH will consolidate in the next few months and might take a positive turn in the next year. Even after this liquidity crisis, the formation of strong support suggests the trust and reliability of Ethereum enthusiasts.

If you have invested in this altcoin, you must hold it for the next five years to get a better return. It is the ideal time to accumulate more ETH because you might not get a lower price than $1000, which is crucial because if the ETH price breaks this level (probability is less), it may become long-term bearish.

However, we think the price of Ethereum will cross the resistance of $2000 and provide a handsome return in the next few years. Indeed, the market will be volatile in the next few months; no technical or fundamental analysis is perfect. You must keep a closer eye on the ETH price actions and crypto portfolio.

Roxanne Williams

Roxanne Williams has recently joined as a market reporter for CryptoNewsZ - the 24/7 crypto news site, where she produces recent stories, technical analysis and price updates on world's leading cryptocurrencies.

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