Ethereum has broken free of its shackles below $3,000 following a healthy move to the upside during the early hours of Tuesday.
All global markets were handed a major boost as Russia said it was beginning to withdraw some troops from the Ukranian border, quelling fears of an invasion.
The S&P500 futures are printing an increase of 2.11% but those are amateurish numbers in comparison to Ethereum, which is now 9.61% up from Monday’s low of $2,832.
From a technical perspective, Ethereum remains in a downtrend on higher time frames with the next lower high coming anywhere between $3,650 and $4,000. In the short term, though, Ethereum is showing positive signs of upside momentum as it attempts to re-test the $3,300 level of resistance.
Breaking above $3,300 would trigger a cascade in short positions liquidations as well as flurry of breakout buyers. A convincing break on solid volume should see Ethereum rise to at least $3,650.
However, breaking $3,300 will not be an easy task. Last August it took four gruelling weeks before it eventually broke as traders attempted to capitalise on a seemingly never-ending short trade.
A rejection and subsequent sweep of the lows will likely see Ethereum break the $2,850 level of support before testing $2,600, at which point the entire altcoin market will be in a woeful state.
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About Ethereum
Ethereum was launched by Vitalik Buterin on July 30 2015. He was a researcher and programmer working on Bitcoin Magazine and he initially wrote a whitepaper in 2013 describing Ethereum.
Buterin had proposed that Bitcoin needed a scripting language. He decided to develop a new platform with a more general scripting language when he couldn’t get buy-in to his proposal.
More Ethereum news and information
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