Ethereum Skyrockets To $1,000, Why ETH Could Rally Further To $1,200

Ethereum surged over 25% and it even broke $1,000 against the US Dollar. ETH price is trading in a strong uptrend and the monthly chart suggests a test of $1,200 in the near term.

• Ethereum is surging and it broke many hurdles near $800 and $900.
• The price is now trading above the $1,000 level and the 100-month simple moving average.
• There was a break above a couple of bullish continuation patterns near $500 on the monthly chart of ETH/USD (data feed via Kraken).
• The pair is likely to continue higher above the $1,050 and $1,120 resistance levels in the near term.

Ethereum Price Surges 25%

In the past two days, there was a massive increase in Ethereum above the $700 resistance level. ETH price gained over 25% and it broke many important hurdles near the $800 zone.

To start with, there was a break above a couple of bullish continuation patterns near $500 on the monthly chart of ETH/USD. It opened the doors for a steady increase above $600 and $700. There was also a decent close above the $750 level and the 100-month simple moving average.

Ether price climbed nicely above the 50% Fib retracement level of the main decline from the $1,595 all-time high to $82 swing low. The price is now trading nicely above the $950 and $1,000 levels.

Source: ETHUSD on TradingView.com

It is testing the 61.8% Fib retracement level of the main decline from the $1,595 all-time high to $82 swing low. It seems like the bulls are eyeing a clear break above the $1,050 and $1,080 levels. If they succeed, the next major stop for them could be near the $1,200 level or $1,238.

The 76.4% Fib retracement level of the main decline from the $1,595 all-time high to $82 swing low is near $1,238 to act as a short-term hurdle. Any more upsides might call for a push towards the $1,595 all-time high (formed on Kraken).

Dips Supported in ETH?

If ethereum fails starts a downside correction, an initial support on the downside might be near the $950 level. The first major support is near the $920 level.

The main breakout zone was near $840, which is now likely to act as a strong support. Any more losses might call for a test of the $750 level.

Technical Indicators

Monthly MACD – The MACD for ETH/USD is gaining pace in the bullish zone.

Monthly RSI – The RSI for ETH/USD is now above the 60 level.

Major Support Level – $840

Major Resistance Level – $1,238

Credit: Source link

source https://cryptonews.wealthsharingsystems.com/2021/01/ethereum-skyrockets-to-1000-why-eth-could-rally-further-to-1200/