Ethereum markets rallied a bit during the week, showing signs of strength against both the US dollar and the Euro, as crypto currencies got back a bit of their mojo over the last several sessions.
The Ethereum market pulled back slightly against the US dollar at the open of the week, breaking below the $600 level only to turn around and rally again towards the $700 level. I think that the market will eventually go higher, perhaps reaching towards the $800 level after that. We have bounced rather significantly, and I think that the market is starting to attract some value hunting. The $800 level above should be resistance though, so if we were to break above there the market probably goes to the $1000 level. I think that we need to see a bit of stability to continue to find buyers, as the market continues to be very noisy.
Ethereum rallied significantly during the week, breaking above the €500 level, reaching towards the €600 level. I think if we can finally break above there, we should then go to the €800 level. That’s an area that has offered resistance in the past, so I think it will in the future. I look at short-term pullbacks as a potential buying opportunity, unless of course we were to break down below the €500 level, and then perhaps we could go to the €400 level. I think that the market continues to struggle going higher, as there has been a lot of noise above. I think that longer-term traders might be interested in buying slowly, and holding onto a position, but that’s more of an investment than anything else. You need to be patient to ride out this move though, so keep that in mind.
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.