Ethereum price has bears targeting $2,000, but bulls are ready in the trenches
- Ethereum price delivers another bearish week after a firm rejection at $2,695 on the upside.
- ETH price is possibly set to shed another 20% in its price value towards $2,000.
- Expect bulls to defend $2,000 at all cast and could set the scene for heavy battles between bears and bulls next week.
Ethereum (ETH) price looked set for a rebound, but the Fed forged that plan, and now ETH price action needs to correct further to attract investors back. Although the descent has been painful for plenty of bulls, there appears to be light at the end of the tunnel as A very thick band of support is set to kick in, together with a few technical fundamentals. Expect next week for ETH price to dip another leg lower, around 20%, towards $2,000, but then start an uptrend as bulls will jump on the historical level.
$2,000 in Ethereum price will be irresistible for investors to engage
Ethereum price has already shed roughly 50% after testing the all time highs back in december. Afterwards it seemed that the test was rather a bearish rejection and triggered a selloff that still looks to be lasting going into next week. Even this week bulls have tried to break the trend, but got rejected again on an upside resistance at $2,695. It proves the importance of having historical levels marked up and taking them into account in order not to fall in any bull or bear traps for that matter.
With that said, expect Ethereum price to move another leg lower in search of support. Next support lined up could be the right one with $2,000 as historical level and a bit below at $1,929, a relevant additional historic suport level. This area should create plenty of opportunities for bulls to get in long as the Relative Strength Index will be trading in oversold area by then and will see bears booking gains.
ETH/USD weekly chart
The patience of bulls maybe does not need to be tested that long as often a new week brings some renewed optimism as the dust gets a chance to settle during the weekend. This could see a quick U-turn on Monday with bulls storming out of the gates and pushing ETH price quickly against $2,695. With that move at the start of the week, the scene could be set towards $3,018, and by this, a death cross formation will be avoided as the 55-day Simple Moving Average is set to break below the 200-day Simple Moving Average next week.
Author
Filip Lagaart
FXStreet
Filip Lagaart is a former sales/trader with over 15 years of financial markets expertise under its belt.
