Past few days saw crypto bounce after the hard sell-off. Ethereum really didn’t bounce as much as BTC and LTC and finds itself at an inflection point.
Resistance Levels and Moving Averages
Looking at the daily chart you can see price rallied and met the 10 period moving average to work off some of the extremely oversold status it was in.
This level also happens to be a prior support, right around 230. As we know once a support level is broken then it tends to act as resistance.
Thus, for price to go higher we need to see a push through this level and above the moving average. Generally this happens when there is a volume buying breakout.
I don’t know if the crypto market has this in the plans after the relief rally.
Bitcoin is looking a bit healthy and as if it could leg up again, while litecoin does have a nice V-bottom pattern going on, but also is just bouncing from the breakdown of a head and shoulders pattern.
It will be interesting to see how those coins play out as well because as we know. If those aren’t pushing higher its’ not likely ETH will either.