Ethereum Price Prediction: ETH Retreats After Threatening To Break Past $1,950
Daily Ethereum ETH Technical Analysis
- The parabolic SAR for Ethereum price has reversed from bearish to bullish.
- ETH has flashed a sell signal in the form of green-nine candlestick in the 4-hour timeframe.
From February 1 to February 18, the Ethereum price climbed by $630 from $1,300 to $1,930. Just when it was threatening to break past $2,000, ETH faced a temporary bearish correction. Just how far will this correction go? Let’s take a look.
Ethereum Price Faces Correction And Dips Below $1,950
On February 15, the Ethereum dropped to the $1,785 support line and bounced up to $1,930. In the process, ETH managed to flip the parabolic SAR from bearish to bullish. As of now, the RSI is hovering along the edge of the overbought zone.
Image: ETH/USD daily
On the downside, there is a healthy support wall of Ethereum price at $1,785. Previously, at this level, 188,500 addresses had purchased a little more than 9 million ETH tokens. This level is robust enough to absorb a lot of selling pressure.
Looking at the 4-hour Ethereum price chart, we can see that ETH has flashed a sell signal, in the form of a green-nine candlestick. However, do note that the present market momentum is still on the bullish side.
Image: ETH/USD 4-hour
Ether Futures Trading In CME Reaches $34M In 24-Hour Volumes
CME derivatives exchange completed its first week of Ether (ETH) trading recently. The exchange nearly sustained the volume of its opening day. Over the entire week, an average of 371 contracts was traded each day at 50 ETH per contract. This amounted to 18,600 ETH or $34 million.
Image: The CME Group
In mid-December, CME announced that it would launch cash-settled Ether futures. They began trading soon after, with the first contracts purchased on February 7. Since then, CME has seen 121 unique, active accounts trading the offering.
In total, 1,856 contracts (about 92,800 ETH) were traded last week, roughly amounting to $160 million. A third of the week's volume incurred during non-US trading hours, and 27% of volume came from regions other than the US.
The ETH futures was an addition to CME's popular Bitcoin (BTC) futures product. On its opening day, Bitcoin futures saw nearly 1,000 contracts, approximately $100 million worth of the flagship crypto.
Ethereum Price Is Expected To Reach These Levels
Ethereum price may face a slight temporary bullish correction, which could see it dip below $1,900, but it will likely regain momentum and jump for the $2,000 level.