Ethereum markets were bullish during the day on Monday again, as traders came back from the weekend. However, we have a significant amount of resistance just above in both Ethereum markets that I follow, so I suspect that we could get a bit of volatility.
Ethereum markets rallied a bit during the day on Monday, showing signs of strength again but I think that the $1000 level above is going to be rather resistive, and it’s not until we break above that level that I think the market will be able to pick up enough momentum to continue going higher. Pullbacks are likely, but those pullbacks could be a bit of a momentum building experiment, with the $900 level underneath being the beginning of significant support. Choppiness continues to be a mainstay of this market, as we are trying to build up the momentum necessary to finally break out. If we break down below the $800 level, that will send this market down to the bottom again.
Ethereum markets rallied slightly against the Euro as well, but just like against the US dollar, we have a significant amount of resistance just above, in the form of the €800 level. If we can break above the €800 level, the market will take off to the upside, probably reaching towards €900 rather quickly. There should be a lot of volatility regardless, and I believe that the market will continue to be very difficult to deal with, so it becomes more of an investment than a short-term trade from when I see.
I believe that the €600 level underneath is the “floor” in the market, and if we were to break down below there, the Ethereum markets would come unraveled. However, I believe that there are value hunters out there propping it up currently.
Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.