Key takeaways
- ETH price is up less than 1% and is now trading above $2,050.
- The bulls defended the $2,000 support level, with further upside movement on the cards.
The price of Ethereum was up less than 1% at the time of writing on Friday, halting the bearish performance that dominated the market on Thursday. The coin could rise higher in the near term as buyers intervened over the past few hours.
Onchain data paints a mixed picture for ether
Ethereum is trading above $2,050 at press time, but onchain data paints a mixed picture for the top altcoins. Over the past week, investors from various groups have been under pressure.
According to onchain data, wallets with a balance of 10K-100K, which were major buyers throughout the recent downtrend, unloaded 340K ETH from March 24-30.
However, wallets returned to buying on Tuesday, accumulating 270,000 ETH over the past two days.
On the other hand, wallets containing 100,000 and 1,000 to 10,000 ETH continued to distribute, reducing their holdings by about 200,000 ETH over the past week.
In addition, exchange-traded funds (ETFs) in the US recorded a similar trend. ETFs recorded only two days of inflows over the past two weeks of trading, indicating a bearish bias.
Ethereum Price Forecast: Bulls defend psychological level of $2K
The 4-hours ETH/USD chart is bullish and active as Ether posted its first monthly gain in six months.
At press time, ETH is trading at $2,062. Its near-term bias remains somewhat bullish, with ETH trading below the 20- and 50-day Exponential Moving Averages (EMAs), which caps the advance at around $2,080 and $2,160.
The Relative Strength Index (RSI) is reading 53, just above neutral, while the MACD has stabilized around its midline, both indicating increasing upward momentum.
If the recovery continues, the bulls will face immediate resistance at $2,108, followed by $2,389 and then $2,746. A daily close above $2,108 would be the first step to ease the pressure and expose the upper resistance band towards the 100-day EMA and $2,389.
However, if sellers regain control, ETH will test the initial support at $1,911, followed by $1,741 and $1,524.
If ETH continues to trade below $2,108, it risks drifting back toward the $1,700 region in the near term.
