Technically, the 12-hour chart indicators are rising higher, showing bullish signs.
Can Ether Price Break $1,000?
This past week, there was a sharp downside move in ETH/USD. The pair traded lower by more than 25 percent to test a crucial support area near $750.00.
ETH/BTC on the other hand, traded above a major resistance area at 0.1000BTC, even testing the 0.1100BTC resistance level, before starting a downside correction. The pair is currently placed comfortably above the 0.1000BTC pivot level.
Let’s start with the 12-hour chart of ETH/USD to understand the bigger picture. It seems like the pair started a three wave correction pattern from the $1,422.48 high. The first wave ended at $750.00, the second wave completed above $1,200.00 and the third wave ended this past week back at around $750.00.
If the third wave is complete, there is likely a double bottom pattern forming at $750.00. The price bounced sharply from the $750.00 support zone. However, the price has to move above the 50 percent Fibonacci retracement level of the last decline from the $1,238.92 high to $745.78 low.
A successful close above $990.00 and $1,000.00 could confirm the stated double bottom pattern. Moreover, there is a crucial contracting triangle forming with resistance near $1,160.00 and support at $750.00. Therefore, above $1,000.00, the next major hurdle would be the triangle resistance at $1,160.00.
Above the mentioned $1,160.00, the pair will most likely complete a three wave correction pattern, and it could move toward or above $1,420.00.
On the other hand, if ETH/USD moves down once again and breaks the $750.00 support, it would invalidate the double bottom pattern.
Looking at the 2-hour chart, Ether’s price is trading near a bearish trendline with resistance at $960.00. A successful 2-hour close above $960.00 may perhaps push the price above the $1,000.00 resistance. On the downside, crucial supports await at $900.00, $800.00 and $750.00 respectively.