Ethereum Price Forecast: ETH Retreats After Rising To $3,200 For The First Time Since May

Ethereum Price Forecast: ETH Retreats After Rising To $3,200 For The First Time Since May
  • Ethereum price sustained the hard fork momentum last week to trade at $3,200.
  • A correction is underway, with Ether looking forward to the next support at $2,800.
  • Ethereum has been on the investors’ favorite list since last week. The Ethereum London hard fork put Ethereum back on the global map as it hit the headlines, with an upgrade that will see gas fees reduced and the protocol making way for the implementation of ETH 2.0.

    The gigantic smart contract token made haste above $2,800, a resistance level that had initially barred bulls from gaining ground. As investor appetite for Ether grew over the weekend, the price lifted above $3,000. Ethereum later brushed shoulders with $3,200 for the first time since May.

    Ethereum Price Hits The Reverse Button

    Ethereum is in the middle of a retreat after suffering rejection at $3,200. As the price shot up last week, holders anticipated a breakout to $4,000 and perhaps a retest of the all-time high. Meanwhile, Ether has slipped beneath $3,000 amid a seemingly strong correction.

    It is worth mentioning that if bears increase their positions, overhead pressure will intensify, thus pushing Ethereum toward the following tentative support at $2,800. Note that the Relative Strength Index (RSI) on the daily chart emphasizes sellers’ likelihood of staying in control.

    ETH/USD Daily Chart

    According to the Moving Average Convergence Divergence (MACD) indicator, buyers are relatively in control. However, if they do not resume complete control in the near term, a sell signal will likely emerge. Therefore, the support at $2,800 remains crucial for the resumption of the uptrend and preventing more losses toward $2.400.

    On the upside, higher support, preferably above $2,900, could allow bulls to assume control as soon as possible. Moreover, reclaiming the ground above $3,000 will most likely trigger massive gains as investors shift attention to $3,600 and $4,000, respectively.

    Ethereum Intraday Levels

    Spot rate: $2,952

    Trend: Bearish

    Volatility: Low

    Resistance: $3,200

    Support: $2,800

    Source