ETH/USD Weekly Forecast: Right Time To Buy Ether?
|Ether failed time and again to break the $54 resistance against the US Dollar.|
|The 12-hour chart of ETH/USD suggests that the pair broke a monster bullish trend line with support at $50.|
|ETH/BTC failed to hold gains above 0.050BTC, and might continue to struggle in the near term.|
Technically, the 12-hour chart indicators are well above their mid lines, but showing slight signs of a decline.
Ether Price Sentiment Still Positive
This past week Ether gave a couple of trade opportunities to the range traders. There were dips close to the $48 level, which acted as a strong support and ignited an upside push.
The price failed to break the $54 resistance zone, and remained confined in a range. On the other hand, the ETH/BTC pair weakened and traded from 0.055BTC to 0.045BTC.
Let’s start with the 12-hour chart of ETH/USD to understand the price action. It is quite clear that the $53.50-$54 area is acting as a strong barrier for buyers, as it prevented an upside move more than a couple of times.
Finally, there was a downside push, and the pair broke a monster bullish trend line with support at $50.00. However, the main question is whether the mentioned trend line break is real or not. In my view, it’s a real break, but not convincing.
The price is not able to close below $48 (Daily close), which is also the range support. Unless there is a proper close below $48, it’s hard to call the trend line break as a major downside move.
If Ether price closes below $48, it might spark more downsides in the near term. Until then, there are chances of a bounce back towards the range high near $53.50-54.
When we drop down to the 2-hour chart of ETH/USD, the pair recently broke a bearish trend line with resistance at $49.80. On the downside, there is a connecting bullish trend line with support at $49.80-49.70.
If the price continues to stay above the highlighted trend line support, it could trade higher. However, gains might be limited as long as $54 is intact.