Ethereum has banished past demons to see a small increase against the United States dollar as the digital asset is presently trading at a region above $1,600. To reach that mark, the digital asset saw a slight increase that brought it close to the $1,550 price mark before breaking above the figure’s resistance. Even though the bulls looked like they were done with the asset, a further rise saw the bulls break above the $1,600 level to signify a solid comeback. Before now, the market had to suffer volatility which spanned across all the crypto markets, with Bitcoin taking the lead in the plunge.
Ethereum is comfortably trading at $1,600
Before reaching this point, Ethereum had to correct on the downside as the digital asset saw its price of $1,550 decline as the bears established their presence. Bitcoin was not left out as the leading digital asset also saw a mighty pull below the $48,000 price mark. For Ethereum, the digital asset closes in on the $1,500 support zone after moving well below both its moving averages.
The bears took the price of the asset hand in hand as they led it to the $1,440 price region before the bulls took over. With that, the bulls ran the price back to touch the $1,500 resistance level and were able to quite dismantle the obstacle there before going on to squash the $1,550 resistance level. The 4-hour chart of Ethereum also saw a break that took the asset higher a notch to a price region close to $1,540 on the trend line.
The $1,550 support level is crucial for the asset
Ethereums price declines steadily in the market as the asset went downward and cleared the Fibonacci level of 76.4% when it moved to a region around $1,400. Presently, the asset has done well and is now trading way up above the level. Another factor is the bullish trend that is around the support level at the $1,550 price mark.
If the digital asset is set to make a price surge, the resistance level is presently at $1,700, and if the bulls successfully break above it, they could run the price close to $1,720. If they succeed in the move, the asset’s price might see another increase to move above the $1,800 level if it is successful in the previous quests.
If the bulls are not forthcoming with a price rise, Ethereum could go the other bearish way. If it drops from its projected price of $1,700, there is support waiting for the asset’s price at a region around the $1,600 price level. Another drop would see the asset trade close to its hourly AMA at $1,575. Analysts have predicted a larger decline if the digital asset’s price fails to hold steady above the trend line at $1,550.