Ethereum has been seeing some incredibly strong price action throughout the past several weeks, and there’s no end in sight to its ongoing uptrend.
The cryptocurrency is currently reaching up towards a key high time frame resistance level that analysts have been closely watching for quite a while, but the overtly bullish market structure formed in recent times will likely be enough to propel it over this level.
One analyst is pointing towards the crypto’s decisive break into its Ichimoku Cloud resistance as a factor that could help propel it higher.
He notes that this pattern suggests that a move up towards a minimum of $460 is imminent in the coming weeks.
The same trader also notes that it has yet to flash any bearish divergences yet – which is a testament to its current technical strength.
Ethereum’s Market Structure is Firmly Bullish as Analysts Eye Near-Term Upside
At the time of writing, Ethereum is trading up over 3% at its current price of $346. This is around the price at which it has been trading at throughout the past several hours.
The reason why it is struggling to extend its daily upswing much further is because of the heavy resistance around $350.
This has long been a level watched by analysts, as it has historical significance.
Despite not being able to breach this level yet, it is important to note that bulls have guarded against any firm rejection within the upper-$340 region.
This may be a sign that a breakout rally is imminent.
While speaking about Ethereum’s near-term outlook, one popular analyst explained that he is watching for a move up towards $365 in the near-term, followed by a rally past $400.
“ETH: After closing above a long term [S/R] on the 2-day chart. We can go ahead and send ETH to $365. Followed by over $400… which means altcoins can make a run right here as BTC dominance pulls back too,” he explained.
Image Courtesy of Josh Rager. Chart via TradingView.
ETH is Now on a “Moon Mission” as Chances of a Massive Upside Movement Grow
Others are echoing this bullish outlook on Ethereum.
Another respected trader noted that ETH is now trading well-within its Ichimoku Cloud resistance. Because assets typically hit the upper boundary of the cloud once it is breached, it may soon be trading at $460 or higher.
“1W ETH: Price on a moon mission to $460 minimum based on weekly e2e – tk cross flips bull this week – obviously, the important part is the trajectory – no high tf bear divs just yet, which is quite impressive…”
Image Courtesy of Josh Olszewicz. Chart via TradingView.
How Ethereum responds to $350 may have far-reaching implications for Bitcoin and the entire cryptocurrency market.
Featured image from Unsplash. Charts from TradingView.
