3-Day Analysis:
Big Picture: After about 200 days, Ethereum’s three-day candle was able to close at its highest level. Previously, all significant rallies in Ethereum were extremely short-lived; however, this surge is already reaching a tipping point, over which another major breakout is anticipated. Furthermore, on the 3-day time-frame, the key EMA’s are approaching a golden-cross formation, which would indicate strong momentum heading forward.
On the Upside there are several resistances between the levels of 2080 to 2130. These are the barriers that are currently encouraging some intraday profit-taking. If Ethereum gains momentum over these resistances, it will be able to channel higher into the weekly breakthrough levels of 2165 to 2200. Strength over 2200 would almost certainly trigger a major breakthrough for Ethereum. Meanwhile, the ongoing consolidation favors bulls.
On the Downside at the 2050 level, Ethereum has some limited protection. However, its major support for the session is between the psychological levels of 2000 to 1980. If bulls want to maintain overall dominance, Ethereum should preferably maintain these levels, as sellers are likely to struggle as long as the price is above the 1980 mark. Below 1980, some deeper pullbacks become more likely.
