ETH has recorded a lower low on the chart. The price has now broken through the $3,600 support level and is sitting just below the $3,740 resistance level.
A big descending wedge has also formed as a result of the present price action. This is a bullish pattern, but if ETH falls below the critical support level, it will be immediately invalidated.
ETH is now trading at $3754 down by 0.8% in the last 24 hours. The major resistance on the upside is at $4000. However, incase of a dip, support is at $3600 and $3300.
As for the technical indicators, on the daily time frame, RSI has made a lower low indicating a bearish bias. Yesterday, the daily MACD painted a bearish cross, which isn’t favourable for bulls.
Analyst Bullish on ETH Price
Michael van de Poppe, a cryptocurrency analyst and trader, has set fresh price forecasts for Ethereum (ETH) after the top smart contract platform saw significant growth in 2021.
Van de Poppe tells his followers in a year-end strategy session that Ethereum has not only held up well against the number-one crypto Bitcoin (BTC), but that it might very well become the centre of the next major crypto cycle.
According to the crypto strategist, substantial market adoption might lead to Ethereum’s market cap surpassing that of Bitcoin, a phenomenon known as “the flippening.”
Despite the network’s high gas fees, Van de Poppe points to Ethereum’s overall growth and demand. Most notably, during the latest market drop that began in November, ETH has proven to be more resilient than Bitcoin.
He says potentially this cycle is not anymore about Bitcoin. It’s about layer-1 platforms which are necessary to succeed in the entire market space
Ethereum Predictions for 2022
Moving on to his price forecasts for 2022, the analyst believes Ethereum is on the verge of experiencing a boom similar to Bitcoin’s in 2017. According to him, ETH may even reach $20,000 in value.
“Ethereum might be topping out, which as a matter of fact target numbers around $12,600, $17,300, and potentially even $22,000.”
Van de Poppe closes his price prediction on the upside by stating that ETH must maintain a critical support level.
He conclusively says,
“Ethereum is the one to watch.Potentially we are seeing an Ethereum cycle instead of a Bitcoin cycle.”