Ethereum Holds Support at $2,087: Can It Rally to $6,000?

Ethereum (ETH) currently trades near $2,475.79 with clear support and resistance levels guiding both short-term and long-term traders.

Technical indicators and analyst insights highlight potential buying and selling zones based on Ethereum price action near the lower Bollinger Bands on the daily chart.

Analysts like Ali Martinez and KriptoBaykusV2 explain how they view Ethereum’s potential on further movements and key levels to watch.

Ethereum Technical Analysis: Consolidation Phase with Key Support and Resistance Levels

Looking at the daily chart of ETH, consolidation is seen just below the middle Bollinger Band with the 20-day SMA standing at $2,567.92 as the resistance.

The lower Bollinger Band at $0.2,403.53 is a support zone with the upper Bollinger Band at $2,732.31 acting as a target. It’ll be a target if bullish pressure is sustained.

1-day ETH trading chart | Source TradingView

20-day SMA functions as a resistance for ETH. A move above this level may signal a bullish turnaround towards the upper Bollinger Band. On the other hand, if ETH could not break out the lower Bollinger Band, it might mean further downside potential.

The RSI at 45.09 shows some weak bearish momentum. It means that the bears have some influence over the ETH. However, it is not enough to take it to extremely oversold conditions.

Analysts See Strong Upside Potential

Crypto analyst Ali Martinez states that in the long run, Ether has a risk-reward chart pattern that should reach $6k sooner or later inside an ascending channel.

The risk-to-reward ratio on #Ethereum $ETH is too good to pass up for a long position! I’ve set my stop below $1,880 and am aiming for a target of $6,000. pic.twitter.com/0ZjmGAjq2p

— Ali (@ali_charts) November 4, 2024

Martinez has placed the stop-loss slightly below $1,880, with this as a major support level against further losses. The $6,000 target aligns with the channel’s upper trendline, signaling substantial gains if ETH maintains its upward path.

His insight shows Ethereum’s price is at the recent lows, just near the long-term channel’s lower boundary, which is the perfect opportunity for the bulls. If ETH maintains above the $1,880 stop level, then the risk-to-reward ratio is good.

KriptoBaykusV2 Highlights Key Support and Resistance

As per KriptoBaykusV2, high and low along with the “In/Out of the Money Around Price” gives an idea of profits and zones of resistance based on ETH holder positions.

#ETH GENİŞLETİLMİŞ ANALİZ#Ethereum’un (ETH) belirli fiyat aralıklarında kârlılık durumunu inceleyen “In/Out of the Money Around Price” grafiğine odaklanacağız. Grafikte mevcut fiyat seviyesi olan $2,458.51’e yakın fiyat aralıklarında ETH sahibi olan adreslerin kârlılık ve zarar… pic.twitter.com/pzVg35aI01

— Baykuş (@KriptoBaykusV2) November 4, 2024

Currently sitting at $2,458.51, 79.92% of ETH addresses are in profit and may exert selling pressure around resistance levels.

The analysis identifies support between $2,087 and $2,311, while resistance is expected near the $2,459-$2,531 range, where breakeven traders may be inclined to sell.

As KriptoBaykusV2 noted, if ETH reaches the $2,531-$2,827 resistance range, some investors may choose to sell to minimize losses, thus providing even more resistance.

Nevertheless, for short-term traders, there is a buy area of $2,087-$2,311 and a profit-taking level of $2,531. For long-term investors, the $2,087 level could be considered an entry level if ETH is going to maintain an upward trajectory.

Source