Ethereum price moves toward $2,000, but analysts say it’s just another ‘relief rally’

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On Could 30, the cryptocurrency market skilled a much-needed bounce that noticed Bitcoin (BTC) climb above $30,900 and Ether (ETH) rally 5.84% to $1,930, however analysts warn that it may very well be too early to count on a reversal.

ETH/USDT 1-day chart. Supply: TradingView

Right here’s a have a look at what a number of analysts are saying concerning the outlook for Ether transferring ahead and the most important assist and resistance ranges to control.

A bounce off of main assist

The Could 30 bounce in Ether got here as “no shock” to market analyst and pseudonymous Twitter person Rekt Capital, who posted the next chart, stating that “It is extra about how a lot #ETH will transfer from right here.”

ETH/USD 1-month chart. Supply: Twitter

Rekt Capital stated:

“Technically, #Ethereum might rally to as excessive as ~$2269 to flip it into new resistance. Basic gist is that no matter this rally turns into, it should doubtless be weaker than mid-2021.”

Attainable restoration to $2,700

Perception into the potential worth trajectories for Ether was supplied by crypto dealer Ace of Alts, who posted the next chart displaying ETH “at present holding the vary lows once more for the 4th time.”

ETH/USD 3-day chart. Supply: Twitter

Ace of Alts stated:

“IF we handle to carry this on the 3D I might see a bounce to the $2,700 area over summer season. This space will most definitely act as one other LH [lower high] within the down pattern. Nevertheless, the R/R [risk/reward] is superb round this degree.”

Associated: Market-cleansing bear cycles are healthy, say industry experts

Searching for “another leg down”

Whereas the bounce in Ether worth was a welcome sight to merchants, Crypto Tony supplied a phrase of warning, posting the next chart and warning to “by no means lose sight of the larger image.”

ETH/USDT 1-day chart. Supply: Twitter

Crypto Tony stated:

“Sure issues are trying good in the meanwhile, however to me that is merely a aid rally. Now we have no damaged market construction on the timeframe and till confirmed in any other case I’m nonetheless in search of another leg down.”

Primarily based on the chart offered, one other leg down has the potential to drop the worth of Ether into the $1,500 vary.

The general cryptocurrency market capitalization now stands at $1.271 trillion, and Bitcoin’s dominance fee is 45.9%.

The views and opinions expressed listed below are solely these of the writer and don’t essentially mirror the views of Cointelegraph.com. Each funding and buying and selling transfer entails threat, it’s best to conduct your individual analysis when making a call.