Ethereum’s performance is impressive, especially in a period where traders are selling off at an alarming rate. The digital asset, which declined alongside Bitcoin and other altcoins, struggled to return to its new high during that period. Not surprisingly, exchanges recorded higher activities linked to the selling actions during the few days of its decline.
Investors don’t want to lose out on all the gains that the new year gave digital assets globally, hence the high sell-offs. Fortunately, even after nearing the $1000 range, it surged to above the $1200 level.
The new gain clearly shows that Ethereum was recovering and might be moving to retake its all-time high. Recently, the crypto community keeps hinting at the emergence of the altcoin season. The digital assets will attract major investors and assure new gains when it finally gets a loyal audience.
Ethereum’s current situation
Amidst hitting the $1,200 level, ETH would likely face some resistance around the $1,250 area. The coin’s previous action caused a decline, which saw the currency moving towards to $1000 range, but fortunately recovered before that mark.
Looking at charts, if the digital asset loses its prominent support, it could become bearish and continuously decline within a short period. The crypto currency’s most significant resistance now is around $1400, $1500, and $1600. In comparison, its significant support holds at $900 $800 $700.
If ETH sell-offs increase, the price might go back to its closest support, the $900 mark. If it should drop below that, $800 would likely hold it up, being the nearest support within that range.
The bull market needs to utilize the current structure to push it above its $1,230 resistance in a bid to record new gains. The analysis shows that the price can hit a new high if the bull’s momentum moves upward. On the flip side, if the technical indicator penetrates under, the digital asset could see an unexpected crash.
Market bulls gaining momentum
Based on the analysis, the market bulls might be gaining momentum due to the decreased sell-off and the new buying pressure coming into play. The market bulls can reclaim ETH’s peak if they remain consistent with the upward pull.
Unlike BTC, ETH recovered significantly since its price correction, which attracts more investment with the assurance of new gains. The digital asset might have to face bear action, threatening to return it to the $800-$909 ranges.
Other altcoins are performing well as Litecoin struggles to take the $500 range. Like other assets, LTC also gained immensely, and if it overcomes the $500 resistance, it could surge into a world of new highs. Years ago, no one would have predicted that altcoins would attract investors and surge beside crypto giant Bitcoin.
Still, BTC remains the world’s largest crypto, but recent losses resulted in a significant shrinking of its cap. The digital asset shows new signs of recovery as it records further gains in the $30,000 range after hitting the $28,000 mark. The decline could mean that BTC would see more falls in the future.