If ETH manages to hold above the $1,800 support level, there is a high probability that it will hit $2,000, stated an analyst. This bullish commentary from analyst Michael comes as ETH breaks below an uptrend line.
ETH could hit $2,000 if it holds above $1,800
Crypto Analyst Michael de van Poppe stated that Ethereum should hold above the $1,800 support level if the coin is to hit the psychological resistance level at $2,000. If the above-mentioned happened, then ETH would spike faster from $2,000 to $2,300 than $1,800 to $2,000.
ETH bulls are defending the support level at $1,800, which is needed—a good sign. However, the chart below shows that the bulls have lost some of the momentum, as they could not maintain the rally along the red dotted lines. The prices breaking below the uptrend line show that the bulls let go of the hook and the bears made use of this situation.
ETH loses bullish uptrend
When the price action before the fall is considered, there is a phase where there was a bearish divergence. Although Ethereum continued to post higher highs, the Relative Strength Index (RSI) failed to confirm the move by forming lower highs, creating a bearish divergence. This suggests that buying momentum was fading even as the price advanced, indicating that bulls were losing strength from then onwards. The break below the trendline is only a manifestation of the bears hiding beneath the surface.
Chairman of Bitmine Immersion Technologies, Tom Lee, explained that Ethereum’s price has been lagging because other chains have also started to do pretty well compared to Ethereum. Despite the Ethereum Foundation trying to do something at the enterprise level to boost the prices, it has not responded well for them.
“The AI story is maybe further out than people hope. And the tokenization story—it’s still really relevant because stablecoins are doing well and banks are experimenting, but we haven’t seen a big transfer of actual financial services activity onto the blockchain.” Lee added
