Ethereum Technical Analysis: ETH Faces Key Resistance Up Front
Daily Ethereum ETH Price Analysis
- Ethereum price has two good support levels at $1,700 and $1,600.
- The MACD has reversed from bullish to bearish.
Between March 6 and March 13, the Ethereum price bounced up from the 50-day SMA to go from $1,530 to $1,920. However, this is where the $1,900 resistance entered the fray and dropped ETH to $1,780. As things stand, ETH is floating between key levels.
Ethereum Price Faces Strong Resistance At $1,800
Ethereum is right now hovering between the $1,800 resistance barrier and the 20-day SMA. This current bearish sentiment has forced the MACD to reverse from bullish to bearish. However, the 20-day and 50-day SMAs have diverged from each other to prevent the formation of bearish cross.
Image: ETH/USD daily
The $1,800 resistance is particularly strong since 760,000 addresses had previously purchased 12.33 million ETH tokens at this level.
Ethereum Dev Activity On The Rise
As per Santiment, the amount of dev activity is on the rise in Ethereum
“Prices may be ranging, but many top cap. #crypto assets are increasing their daily rate of notable development activity. #Bitcoin, #Ethereum, #Chainlink, #Litecoin, & #Polkadot are all at or near their highest rate of #github submissions in 3 months.”
Meitu Buys $50M More of Ethereum and Bitcoin
Chinese tech company Meitu recently announced an additional crypto investment. The firm has acquired 16,000 ETH (around $28.4 million) and 386 Bitcoins ($21.6 million approximately). The recent purchase has brought its total crypto holdings up to around $90 million.
The company made the additional purchase through Miracle Vision (a subsidiary of Meitu) to align with their Cryptocurrency Investment Plan. On March 5, the company bought 15,000 ETH ($22.1 million) and 379 BTC ($17.9 million). Meitu now holds $50.4 million in ETH and $39.5 million in BTC. The move follows the firm’s previous statement about cash devaluation.
The Board believes cryptocurrencies have ample room for appreciation in value and by allocating part of its treasury in cryptocurrencies can also serve as a diversification to holding cash.
The company believes that digital assets hold more value than declining fiat. Meitu also outlined the growth in cryptocurrency adoption by financial institutions. Industry giants like Tesla, Grayscale and MicroStrategy have recently made large purchases of crypto-assets.
According to the Board, more companies across China and countries from Southeast Asia are adopting crypto.
Ethereum Price Is Expected To Reach These Levels
The Ethereum price will probably keep hovering horizontally below $1,800.