KEY POINTS

  • Ethereum surged to $160 on Sunday before falling back to $152
  • ETH/USD is on the verge of breaking a multi-year downward sloping trendline
  • Ethereum has to break another resistance line in the form of a horizontal trendline on the ETH/USD chart to see higher prices against the top crypto

The weekend has caused Ethereum (ETH) to make a little push above $160. Although the attempt to hold above that level was unsuccessful, the 2% rally did present itself as a potential break above a downward sloping trendline before price receded to $152 as of writing.

Just like the market's bellwether crypto, Bitcoin (BTC), Ethereum is also currently on the road to recovery after getting a beatdown by the market back in March when investors sold everything they can sell for cash as COVID-19 worries intensified. The recovery among crypto-assets didn't take long as most are on their way to pre-crash levels.

Ethereum and BTC's (ETH/BTC) bearish trendline that was established since 2017 is on the verge of being broken, which could mean that the second most popular crypto is ready to rise against its most popular counterpart. Trader Tyler Coates noted this observation via Twitter.

"$ETHBTC is trying to breakthrough a multi year bear trendline. However there is still major horizontal resistance above and horizontals are > trendlines," tweeted Coates.

The horizontal line that Coates pointed out is Ethereum's clear impediment before it sees higher prices against Bitcoin. Against the dollar, Ethereum has just descended after reaching $176 on Tuesday last week. The dynamic resistance level offered by the 50-day and 200-day moving average is confined within the $168 to $172 range.

Bitcoin, on the other hand, slipped under $7,000 again after tipping $7,200 on Sunday. The leading crypto is now trading at $6,700. Satoshi Flipper tweeted on Friday that BTC is still a gift below $7,000, and he expects the price to return to $7,100 and extend to $7,300.

"$BTC below $7k is still a gift for me Here's how I'm hoping this will play out, BUT be ready in the event we break down HOWEVER, if we break down, I'll be adding a small fortune to my alt/usdt pairs I have another short hedge open for insurance," the tweet read.

As the world currently grapples with the coronavirus, the dwindling demand for riskier assets played a factor in how crypto-assets traded. Still, some investors view the rest of the money printing bonanza to be a threat to the value of fiat in the long run, which could finally strengthen the case for cryptocurrencies.

ethereum-crypto-bitcoin-ripple-digital-currency-blockchain-getty_large
Cryptocurrency Getty
MEET IBT NEWS FROM BELOW CHANNELS

© Copyright IBTimes 2022. All rights reserved.