ETH consolidates before resuming the uptrend towards $2500
- Ethereum bulls take a breather after crossing $2000 for the first time ever.
- The No. 2 coin confirms rising wedge breakout on the four-hour chart.
- The next leg up eyes $2369 target en route the $2500 mark.
ETH/USD has reversed from life-time highs of $2041, consolidating the latest upsurge before the next push higher.
At the time of writing, the world’s second-largest cryptocurrency is clinging onto the $2000 mark, up 2% on the day while rising nearly 11% over the week.
ETH/USD: Technical indicators call for further upside
The technical graphs offer a constructive outlook for Ethereum, especially after a rising wedge breakout was confirmed on the four-hour timeframe.
ETH/USD: Four-hour chart
Adding credence to the bullish bias, the Relative Strength Index (RSI) has retreated from the overbought zone, hovering just below the 70 level. This suggests that there is potential for the next leg to the upside.
The pattern target is measured at $2369, although it could be a bumpy ride for the ETH bulls on their northwards journey.
An Immediate downside could likely be capped by the bullish 21-simple moving average (SMA) at $1902.i
The next cushion is aligned at $1843, the 50-SMA, below which the pattern support at $1809 could be tested. A sustained break below the latter could invalidate the bullish breakout, as the sellers would then eye the 100-HMA at $1771.
ETH/USD: Additional levels to watch