The Ethereum (ETH) network has moved one step closer to completing its transition to proof-of-stake (PoS) this week following the successful completion of its penultimate major merge test on the Sepolia public testnet.
Data from Cointelegraph Markets Pro and TradingView shows that, tFollowing the Sepolia merger on July 6, the price of Ether rose to a high near $1,280 on July 8but has since trended lower to hit a daily low of $1,153 on July 10.
With the Ethereum network nearing the home stretch of its move to PoS, here’s what analysts say could happen to its price in the near term.
A pullback to $1,020 could occur
Recent price action for Ether following the successful Sepolia merger “is giving more clarity than $BTC right now”according to crypto trader and engineer Crypto Feras, who public the chart below depicting the rejection at $1,280.
CryptoFeras said:
“Price action continues to show a clean rejection of the range-top. Potential bull flag forming (not enough yet). If we continue to bleed below flag support, $1,020 looms.”
double top warning
A potentially bearish formation on the Ether chart was flagged by analyst and Twitter user Profit Blue, who public the following graph noting that “both BTC and ETH are forming the same double top pattern and bearish price action”.
profitblue said:
“Further downside is likely, pay attention to the important levels on this chart.”
According to the graph provided, major lower support levels are found at $1,170, $1,043 and $941.
ascending triangle formation
Usually, Ether trading has been in a range between $1,050 and $1,245 for the last couple of weeksas shown in the following tweet posted by Twitter user Nika Deshimaru, laying out major support and resistance levels for the top altcoin.
Weekly S/R for $ETH: ~1050/1200
Monthly S/R for #ETH: ~1100/1700 (argument for 1400 as a waypoint also)Daily S/R ~1130/1245
Bullish TA lads want to see the triangle meme play out off the back of 1M/1W support confluence bounce.
Bears looking at EMA failure, strong resistance. pic.twitter.com/icEe5Sq0m5
— Nika Deshimaru (@Nikadesh) July 10, 2022
Weekly Support/Resistance for $ETH: ~1,050/1,200
Monthly S/R for #ETH: ~1,100/1,700 (argument for 1,400 as a benchmark too)Daily S/N ~1,130/1,245
The technical analysis bulls want to see the triangle that is forming after the bounce off the confluence of 1M/1W supports.
The bears look for the failure of the EMA, strong resistance.
As Deshimaru pointed out, the bulls need to break the resistance at $1,200 if they want to make a sustained move higherwhile bears are looking for the resistance provided by the 21-day EMA to hold firm and continue to apply downward pressure.
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