After the highs accomplished a slight stumble lower
ETH / USD remains a speculative paradise for traders who love volatility and dream of rapid changes in value.
ETH / USD hit all-time highs on Monday, hitting a price close to the ratio of 4,200.00. The day before the record values were recorded, ETH / USD registered a low of around 3,725.00. Ethereum continues to demonstrate its volatility and traders who enjoy an emotional roller coaster are invited to participate in its sphere. At the time of this writing, ETH / USD is close to 3890.00, but this value is likely to change quickly as rapid trading conditions persist.
All-time highs have been regularly hit by ETH / USD, and yesterday’s adventure above the 4,000.00 mark should not go unnoticed. Call the Ethereum market whatever you like: bubble, exuberant, frothy, jubilant, or belligerent. Traders need to understand that technical charts are certainly important for ETH / USD, but they also need to understand the power of behavioral sentiment generated.
The question for speculators who want to continue to continue the bullish momentum in ETH / USD is where to find good launching ground to buy opportunities. After stumbling off Monday’s historic highs, traders are reminded that it’s natural for downside reversals to occur in reaction. Profit taking can be a component of short-term ETH / USD as speculators cash in on winning positions.
Technically, support levels need to be examined through important junctions for a proper outlook taking into account the drastic changes in value that remain a hallmark of ETH / USD trading. The 3850.00-3800.00 marks look like potential places for cautious traders to place limit orders below current values in an attempt to profit from higher rebounds. However, if ETH / USD starts showing durable trading above the value of 3900.00, this may indicate that short-term resistance near 3950.00 may be targeted.
Because ETH / USD continues to operate in a strong bullish trend, if short-term resistance levels turn out to be vulnerable, traders will start aiming for 4000.00 again. This is where things can get interesting. If the 4000.00 level is re-penetrated and is able to maintain this threshold, Ethereum speculators will certainly believe that record highs will be reached again.
ETH / USD traders are advised to use stop losses and to manage their risk-taking tactics wisely. Volatile trading should be expected in the near term as Ethereum remains in the spotlight and speculative waves participate in its trading landscape.
Short-term outlook for Ethereum:
Current Resistance: 3950.00
Current support: 3835.00
High Goal: 4,091.00
Low target: 3,723.00