Ether’s Price has been struggling to hold the $1,850 support since April 21st, the same level it held before the rally towards $2,100 started on April 13th. Investors have reason to wonder if there are buyers, given the 13.5% six-day price correction and $548 million in leveraged futures settled between April 19-21. Given the lower usage in decentralised applications (DApps), the Ethereum network likely has its own problems. Total deposits in Ethereum smart contracts in Ether terms fell to their lowest level since August 2020. The global volume of ETH has risen by almost 20% in the last 24 hours.
At the time of writing, ETH was trading at $1,832.5
ETH after making a ‘Hammer’ candle at the recent bottom of $1,370.4 started to trade in an uptrend and rallied up to $1,850. The asset consolidated in a range from $1,750 to $1,850 for two weeks and gave a range breakout on the upside and surged up to $2,146. Post this move, ETH witnessed a profit booking at higher levels and the prices dropped to $1,808. Currently, on a daily time frame, the asset is trying to take support around $1,850 to $1,800 (50 Day Moving Average & previous highs of the range). If it holds and sustains above the support then we can expect the bulls to resume the up-move whereas a break below the moving average can lead to a further downfall and the prices can test the next support which is at $1,700.
|Support 2||Support 1||Asset||Resistance 1||Resistance 2|