Ethereum (CRYPTO: ETH) is trading lower Tuesday, likely cooling off after the crypto has been climbing throughout the past week.
Ethereum was recently able to bounce at support and has been on a climb since.
Ethereum was down 4.48% at $2,484.94 at last check Tuesday afternoon.
Ethereum Daily Chart Analysis
- Ethereum saw a couple of bounces off of the trendline and has started pushing higher toward resistance since.
- The crypto trades above both the 50-day moving average (green) and the 200-day moving average (blue), indicating sentiment has been bullish.
- Each of these moving averages may hold as an area of support.
- The $3,000 level is an area where Ethereum has struggled to cross after it has been rejected at the price level in the past. The bounces off the higher low trendline show that this trendline can hold as support and may continue to do so.
- The Relative Strength Index (RSI) has been above the 50 mark for the past couple of weeks and sits at 62. This means there have been more buyers in the crypto than sellers throughout the past few weeks.
What’s Next For Ethereum?
Bullish traders are looking to see Ethereum continue to hold above the higher low trendline and push higher. Bulls then want to see it break above resistance with the RSI in the overbought range.
Bearish traders would like to see Ethereum fall and break below the higher low trendline and the moving averages. This could signal that the crypto is about to change trend and sentiment.
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