Ether Follows Bitcoin up; $4,000 in Sight?
Like most major altcoins, Ether has followed bitcoin’s recent gains amid strongly positive sentiment and new inflows of capital. Unlike bitcoin, though, Ether still hasn’t made a new all-time high during this bull run. The price is still about 20% below November 2021’s high around $4,850.
Although $4,000 is the clear immediate target and it seems likely that the price will reach there soon, it’s questionable whether it’ll continue further or hold above there for long. That area was tested unsuccessfully twice in the first half of the year. However, the context of an aggressively bullish market means that overbought signals can probably be discounted and it’s clear that volume supports the trend, with buying having spiked recently.
The 61.8% monthly Fibonacci retracement around $3,270 seems to be the main area of static support, but this is obviously quite far below the current price The 20 SMA could be an important dynamic support. Neither the NFP nor next week’s American inflation are likely to have a lasting impact on the direction unless they’re notably surprising but short-term volatility will probably increase around these releases.
