The plunge followed Ethereum’s drop of its first key resistance level at $2,351. Notably, the plunge is not new to Ethereum as the price slid to an intraweek low of $1,850.00 on Saturday. The crypto has also shown signs of a new price breakout after shortly revisiting the $1,990 levels before sliding. In general, the crypto has been trading in the red zone for 5-days. Notable plunges include a 4.43% fall on Tuesday and a 3.81% loss on Thursday.
Can Ethereum surpass the $2,000 level?
Moving forward, the second-ranked cryptocurrency requires the support of the entire market to have a glimpse of the $2,000 price level. However, before surpassing the level, Ethereum needs to break the $1,970 resistance level. On the downside, if the crypto plunges below the support level, it will require a support level of $1,771. Furthermore, if the entire cryptocurrency market embarks on a rally, Ethereum might record a new resistance level at $2,100 on the upside. At the same time, if the crypto rally is extended, the next Ethereum’s next resistance level might stand at $2,289. Consequently, to break this point, Ethereum will need massive support that entails surpassing the previous week’s high of $2,169. Barring another extended sell-off in the week, Ethereum should steer clear of the second major support at $1,651. The 62% FIB of $1,725 should limit the downside. Furthermore, Ethereum left the major support and resistance levels untested at the start of the week. Related video: Bitcoin and Ethereum – Weekly Technical Analysis – July 19th, 2021 [coinbase]
