Ethereum is Rising Faster Than Bitcoin, Could Reach $1,500
July 19, 2022Ethereum began to increase rapidly above its $1,200 resistance zone against the USD. It is rising at a higher rate than Bitcoin.
ETH Impressive Pace Gain
The Ethereum token entered a positive area following its close above $1,200 and 1,250. It later cleared the 1.320 area and got farther into the positive zone. The price still picked up the pace again and rose above $1,400.
Ethereum traded as high as $1,420 as it settled comfortably above the 100-hour SMA. Its price is currently consolidating gains close to the $1,400 area. It is equally trading significantly above the Fibonacci retracement level of 23.6%.
The asset’s recent rally was from the $1,196 low point. It has climbed to the $1,420 high at the time of this report.
Aside from the above, there is a significant bullish trend line. It is still forming with strong support close to $1,325 on the chart. There is an immediate point of resistance on the increasing side close to $1,420.
The first main resistance to be encountered is close to the $1,450 area. If there is a clear move above $1450, the price could still go higher. The other major barrier to be met is close to the $1,500 area.
The price of Ethereum is going to gain more bullish strength above the $1,500 area. If the stated scenario plays out, the price could increase to the $1,580 area.
Are Ethereum Dips Now Limited?
If Ethereum does now, however, rise above $1,450, it might begin a downward spiral. The first line of support on the way down is close to the $1,380 area. The next main support is close to $1,350 and its trend line.
The major support line is close to $1,300 of the 50% Fibonacci retracement area. It relates to the recent rallying low and high points of $1,196 and $1,420 respectively. Snapping under the $1,300 support line might just trigger another round of decline.
If that plays out, the price might fall in the direction of $1,250. Coming anywhere under that line might give immense strength to bears.
The entire crypto market has battled declining prices for the most part of this year. Most macroeconomic issues that caused it are yet unresolved but crypto could fight its own battles. Bitcoin took the most hit and its recovery has been relatively slow.
Yet, Bitcoin has a better fate than most others. Terra has collapsed after losing its peg and Tether briefly touched that terrain.
A factor that could help the crypto sector at this time is the consideration of states. Countries are coming up with regulations of various kinds. At the same time, some are working towards incorporating it into their financial system.
