A closely followed crypto analyst says that Ethereum (ETH) has to break through one resistance level to ignite a bull rally.
In a new thread, crypto trader Rekt Capital tells his 549,100 followers on the social media platform X that Ethereum needs to reclaim the area around $2,500 as support before ETH can mount an explosive move to the upside.
“After holding the orange circled area for about six full weeks, Ethereum ended up following through on the blue circled scenario. Still, this orange box is the macro range low ($2,200), and price needs to effectively reclaim around $2,500 to rally across the range.”
The analyst also says that until Ethereum closes above $2,500 on the daily chart, ETH will likely hold $2,200 as support as it trades sideways.
“For the time being, Ethereum is treating the ~$2,500 level as resistance after it previously held for almost six weeks. But Ethereum just needs a daily close above ~$2,500 to start the reclaim process. Until then, ETH will meander between $2,200-$2,500.”
ETH is trading for $2,425 at time of writing, flat on the day.
Next up, the analyst says that Bitcoin (BTC) is showing bullishness on the daily timeframe, having smashed through a downtrend line for the second time in June.
“Bitcoin has broken two two-week downtrends over the past month.”
Bitcoin is trading for $107,302 at time of writing, flat on the day.
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