Key Points
Ethereum’s Bullish Price Action
Ethereum [ETH] experienced a slight pullback in price from $2867 to $2719 between February 15th and 17th. This occurred following a significant breakout past the range highs at $2.6k, a level that had been challenging for bulls to surpass for the previous six weeks.
The consistent increase in active addresses in recent weeks suggests the start of a long-term uptrend. However, this doesn’t eliminate the possibility of retracements. Two demand zones were identified, and data also indicated an imminent move towards $2900.
The H12 chart of Ethereum displayed a clear uptrend in progress. The market structure was decidedly bullish. For the structure to flip bearishly, a drop below $2472 would be necessary.
The RSI stood at 73 at the time of writing, remaining in the overbought territory for the past six days. While this doesn’t imply a significant pullback, it does suggest that prices might be overextended and may need time to stabilize.
Concurrently, the OBV continued to ascend as buying volume drove it upwards. The consistent demand and momentum suggest that it’s only a matter of time before Ethereum prices rise to $3000 and beyond. The $3250 and $3580 levels are significant resistances beyond $3k.
Liquidation levels data from Hyblock was also analyzed. Despite the recent minor pullback, the Cumulative Liq Levels Delta remained positive, indicating more long liquidation levels. However, their liquidation clusters were at $2550 and slightly below the $2700 mark. A $179 million short liquidation level was present at $2858.
Therefore, a move to the $2850-$2900 region seems likely. This could be followed by another upward move, as the long liquidations, although more numerous, are more spread out.
Please note that the information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
