Technical analysis in the cryptocurrency market is a key indicator, especially for investors trading in the futures market. So, what does technical analysis tell us about Ethereum, which was trading at $2160 at the time of writing? We examine it with detailed chart analysis and key support and resistance levels.
Ethereum Chart Analysis
The daily Ethereum chart shows a rising channel formation structure that has been providing clues to many investors, especially since July 2022. The fact that there has been no support or resistance break in this formation highlights its significance once again. Ethereum faced selling pressure as it failed to surpass a significant resistance level during the recent uptrend.
The most important support levels to follow on the daily Ethereum chart are; $2135 / $1991 and $1868, respectively. Particularly, a daily bar close below the $2135 level, which has been a significant support during the recent selling pressure, will increase the selling pressure on Ethereum’s price.
The most important resistance levels to watch on the daily Ethereum chart are; $2240 / $2375 and $2503, respectively. Especially, a daily bar close above the $2375 level, which has been a major obstacle during the recent upward momentum, will provide significant momentum to Ethereum’s price.
ETH/BTC Chart Analysis
Ethereum has been continuously losing value against Bitcoin since June, and this is clearly visible on the ETH/BTC chart. The falling channel formation seen in the ETH/BTC pair could be an example of this situation. A triangular formation in the formation area in recent times could strengthen the pair.
The most important support levels to follow on the daily ETH/BTC chart are; 0.05173 / 0.05028 and 0.04841, respectively. Particularly, a daily bar close below the 0.05173 level, which has been a significant support since October, could accelerate Ethereum’s loss of value against Bitcoin.
The most important resistance levels to watch on the daily ETH/BTC chart are; 0.05450 / 0.05641 and 0.05927, respectively. Especially, a daily bar close above the 0.05450 level, which has not been surpassed recently, will enable Ethereum to gain value against Bitcoin.