Will The Rising Ethereum Price Hit $2000 Mark This Coming Week?

The Ethereum price witnessed a significant dip as the overall market corrected during the second half of August. However, the altcoin obtained a suitable footing at $1400 support and resumed the prevailing recovery. Moreover, under the influence of the cup and handle pattern, the coin price should gradually pierce the $2000 if the Merge event didn’t cause any adverse effect.

Key points from Ethereum analysis: 

• The Ethereum price recovery stalls at $1800 resistance.
• The Ethereum Fear and Greed Index has risen to a neutral zone, with a current value of 45%
• The intraday trading volume in Ethereum is $12 Billion, indicating a loss of 12.4%. 

Source- Tradingview

The market participants react positively as the most-awaited Ethereum merge closes, resulting in a 24.2% rally in just two weeks. With the merger, the Ethereum ecosystem is expected to be tremendously efficient and should genuinely raise the coin price higher.

However, the Ethereum price is currently knocking at the $1800 psychological resistance with relatively low volume indicating a better possibility for price reversal. If this happens, the altcoin may revert to $1550 or $1400 support.

Anyhow, a significant event as such usually attracts high volatility in price and could find an easy uptrend to ride if things go north. Furthermore, the Ethereum co-founder Vitalik Buterin warned in an interview that it could take a six-eight for The Merge to have an impact on price.

In addition, a daily candlestick closing of $1800 will accelerate the bullish momentum and complete the formation of the cup and handle pattern. This bullish pattern is often found at the market bottom and ignites a directional rally.

Thus, the bullish breakout should surge the Ethereum price 13% higher and bolster buyers to surpass the $2000 neckline resistance.

Technical indicator-

OBV indicator: An upswing in this momentum indicator supports the ongoing rally to break the $1800 mark.

Relative Strength Index: the daily-RSI slope rose comparatively higher concerning the august 25th peak, indicating the market sentiment continues to improve.

EMAs: the recent bull-run breached the 20-and-50-day EMA, which has historically acted as an excellent dynamic resistance or support. Thus, the coin price trading above them will assist buyers in maintaining the recovery rally.

• Resistance level- $1800 and $2000
• Support level- $1550 and $1400