Ethereum has been struggling a lot under bearish pressure that has been building in the cryptocurrency market over the past few weeks. ETH price has experienced multiple crashes that have sent it back towards $2,000, dashing expectations for a modern all-time high in Q3. However, this decline may be short-lived, as one crypto analyst has suggested that Ethereum price may be preparing for another rally which could cause it to return to previous highs.
Ethereum looks promising on the weekly chart
Cryptocurrency analyst RLinda has published promising Ethereum price analysis on TradingView. The analysis focuses on the ETH price on the weekly chart, which, despite the crash, maintained an upward trend. This follows continued accumulation from a low of $2,000, with prices rising.
The cryptocurrency analyst emphasizes that Ethereum is being bought by the market after the crash. This suggests a bullish sentiment among investors, even though the price remains low at the moment. Regarding the chart, the analyst indicates that “a very promising technical situation is forming on W1.”
RLinda suggests that many promising conditions could arise if ETH price were to return to their global sideways range. In this case, the crypto analyst believes that Ethereum may have a good reason to jump towards the $4,000-$4,800 range.
Amidst all this, the crypto analyst maintains that the backdrop for Ethereum is still quite bullish. “The liquidation (strong downward movement) and subsequent active buyout indicate that the market is clear of unnecessary traders and the train can now move in the right direction, it remains to reach the key station before departure,” RLinda stated.
Key levels to watch out for
The bullish Ethereum price is positive for the cryptocurrency. However, there are still various essential levels to watch that serve as essential levels for the cryptocurrency to achieve this goal. This includes both support and resistance levels along the way.
In this case, RLinda is not specifically looking at the $2717-$2817 resistance area. These areas are mainly the most essential resistance levels in this uptrend. According to the analyst, breaking through this resistance and forming support will provide ETH price with a promising liquidity target above $4,000. The full set of resistance levels is $2717 and $2817, while the main support levels from there include $2518, $2425, and $2400.
RLinda thinks that whales Ethereum buy-up shows major players remain positive“After Friday’s test and pullback, the price has returned to a level that increases the chances of a breakout,” the cryptocurrency analyst said in conclusion.
Featured image created with Dall.E, chart from Tradingview.com
