Technically, there is a shift in the market sentiment, and indicators remain entrenched into the positive territory.
ETH/USD Turned Bullish?
Yesterday, I highlighted how Ether price is struggling to trade above the $11.20 resistance against the US Dollar. The ETH/USD pair was mostly seen trading in a range until there was an increase in buyers’ sentiment, which ignited an upside move.
The pair moved higher and during the ride broke the $11.20 resistance. No doubt, the recent break was crucial, and if the Ether bulls succeed in a daily close above the stated level, there is a possibility of further gains in the short term.
If the price corrects lower from the current levels, then the 23.6% Fib retracement level of the last wave from the $10.20 low to the recent high may act as a support area. However, the most important support zone could be at $11.20. It was a resistance earlier, and now might act as a barrier for sellers.
If we look at the 4-hours chart of the ETH/USD pair, there is an intermediate resistance at $11.60-80 since the 100 simple moving average is aligned as a hurdle. So, there is a chance of a minor dip before the price can regain strength for another ride.
In my view, the recent moves in ETH/USD are convincing and pointing towards more strength. On the downside, the $11.20 may now play a critical role going forward.