The price of Ethereum has formed the Bullish Pennant pattern. In the Asian session, there was a sharp break above this technical pattern confirming a probable upward movement in the coming days. At the moment of writing, ETH was above the strong resistance of 3,600 and it was expected to continue rising to +2/8 of Murray located at 4,062.
Some investors and analysts believe that ETH could reach $ 6,000 before the end of the year. However, let us remember that this cryptocurrency is correlated to BTC, so if BTC reaches 75,000, Ethereum may go up to 6,000.
According to the 4-hour chart, the trend remains bullish as it is now located above the 21 SMA and above the 200 EMA. These moving averages support the outlook of a bullish movement to +2/8 of Murray around the psychological level of 4,000 in the short term.
As Ether broke the Bullish Pennant, a correction towards the top of 3,600 is expected, which has now turned into strong support. The level of 3,600 put ETH under pressure on September 16 and October 8. Now the price has finally broken above this level.
Therefore, you can buy at the current price levels, or if there is a bounce towards this support, it will be a good opportunity to buy with targets at 4,062.
After recovering from an overbought zone, the Eagle indicator is now showing a bullish signal, therefore, buy above 3,600 with targets at 3,800 and up to 4,062 (+2/8).
Support and Resistance Levels for October 14 - 15, 2021
Resistance (3) 4,062
Resistance (2) 3,879
Resistance (1) 3,806
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Support (1) 3,663
Support (2) 3,437
Support (3) 3,341
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A trading tip for ETHER for October 14 - 15, 2021
Buy above 3,600 (strong support) with take profit at 3,806 and 4,062 (+2/8), stop loss below 3,493.
The material has been provided by InstaForex Company - www.instaforex.com