ETHUSD: Bullish Momentum Towards $4000

Ethereum has broken out of an important psychological resistance level of $3500 and is now moving in a strong bullish momentum towards the $4000 handle. ETHUSD touched an intraday high of $3662 in the European trading session today.

ETH is now trading above its pivot levels of $3628 and Camarilla resistance levels of $3633, with the price surging continuously and getting ready to break its classic resistance levels of $3654.

Ether is expected to maintain the bullish tone this week and continue towards the $4000 mark as the bulls take over. All the technical indicators are giving a BUY signal.

ETH is now moving above both the 100 hourly simple and exponential moving averages. Before touching the $4000 handle, a contraction in prices is expected this week.

• Ethereum is consolidating its gains with a firm bullish tone
• Short term to medium term outlook remains bullish for ETHUSD
• All the moving averages are giving a STRONG BUY signal
• The pair is expected to touch $3800 in the US trading session today

Ether Consolidating Its Gains

ETHUSD is forming an uptrend continuation pattern which signifies that a breakout could occur at any time, pushing the prices above the $4000 handle. At the start of the Asian trading session, volatility was low, but then the demand increased leading to the surge in the price.

ETH has gained 5.62% with a price change of +$193.78 in the past 24hrs and has a trading volume of 16.861 billion USD.

Ethereum For Investors

Ethereum is gaining more acceptance as an investment option for long-term appreciation, leading to  higher demand. The upside potential for Ethereum is higher than bitcoin in terms of percentage gains, the reason why many bitcoin investors are now turning to Ethereum.

ETHUSD was priced at $586 during the same period in October 2020, and with the current market prices of $3644, a gain of 621% is observed. Some crypto analysts have cited Ethereum as a better investment alternative to gold.

The Week Ahead

Ethereum buying pressure is increasing today. The prices could reach the $4000 mark this week. There is no visible contraction in the prices of Ether today, but in the coming days, we could see some short-term bearish corrections towards the $3500 level.

Ethereum midterm range is positive and any dips will remain as an attractive buying opportunity for long term traders.

This week, ETH is expected to close above $3900 level. The trend will most likely continue in the opening of next week.

Technical Indicators:

Relative strength index (14-day): at 66.41 indicating a BUY

Commodity channel index (14-day): at 70.69 indicating a BUY

Rate of price change: at 3.581 indicating a BUY

Moving averages convergence divergence (12,26): at 38.79 indicating a BUY

LTCUSD – Bullish Engulfing Pattern Above $165

Litecoin is currently printing above the $170 handle, and its price is about to cross its pivot level of 179.60 in the European trading session. It has already crossed its 100 hourly simple and exponential moving averages. Any dips in LTCUSD remain well supported, and we can see the price reaching $185 today in the US trading session.

All the moving averages are giving a STRONG BUY signal at the current market prices of 179.15

Litecoin now needs to clear its Camarilla resistance levels of 180.09 and classic resistance levels of 181.13, after which the path from $185 to $190 will be cleared.

A bullish engulfing [pattern is seen in Litecoin at levels above $165, which signifies that short-term and medium-term outlooks for Litecoin remain bullish.

• 100 hourly and 200 hourly moving averages are both indicating a BUY
• Medium-term trend remains bullish with upside targets of $190
• Range bound trading could be seen before the prices move upwards of $180 handle
• Average true range indicates less market volatility today

Litecoin Price Gains Pace

LTCUSD touched an Intraday high of 181.05, and a short term correction in its prices is expected before the continuation of the bullish run towards the $185 handle.

This week we saw a mixed start with the prices of LTCUSD touching a high of 185.37 and a low of 166.35.

Litecoin is trading with less market volatility today; more trading volumes could still be seen later. In the last 24hrs, LTCUSD has risen by +5.80% with +9.82$ in price, and has a 24hr trading volume of USD 2.552 billion.

The Week Ahead

The pullback in Litecoin was strong. It is expected to cross its major resistance levels of $186 within this week.

Short selling in the LTCUSD could occur at $185 level, lowering the price below $175 this week.

The correlation between bitcoin and Litecoin at 0.9 and a stronger demand for BTC will continue to push the prices of LTC over $190.

Next week, it is expected to reach $185 as the immediate target and then move towards the 190-200 handle.

Technical Indicators:

Relative strength index (14-day): at 60.23 with a BUY

Rate of price change: at 2.159 with a BUY

Moving averages convergence divergence (12,26): at 1.785 with a BUY

Bull/Bear power (13-day): at 2.232 indicating a BUY

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