In case the Bulls lose their momentum and the $187 level does not hold, the Bears will push Ethereum price down to $178. However, a further increase in the Bulls’ momentum may push up the price to break up $194 level and expose $201.
Supply Zones: $194, $201, $208
Demand Zones: $186, $178, $150
ETH is on the bullish trend on the medium-term outlook. Ethereum started a range-bound movement on April 30 within the $167 demand level and $178 price level. The sideways movement continues until yesterday (May 06).
The Bulls prevailed over the Bears by gaining more momentum than the Bears. Strong bullish candles emerged and broke up the $178 level and $187 level. The bullish momentum extended to the $194 before the Bears reacted to the price increase and Ethereum price was placed near $186 level.
The 21 periods EMAs and 50 periods EMA pointing up with Ethereum price trading above the two EMAs as a sign of a bullish trend. The Moving Average Convergence Divergence period 12 is above zero levels with its signal lines pointing up to indicate buy signal and continuation of Ethereum price increase.
The pullback is inevitable in a trending market and that is what Ethereum market is experiencing at the moment. In case the Bulls lose their momentum and the $187 level does not hold, the Bears will push the ETH price down to $178. However, a further increase in the Bulls’ momentum may push up the price to break up $194 level and expose $201.
On the short-term outlook, ETH price is Bullish. The Bulls were fully in control of the Ethereum market. The bullish momentum that made ETH broke out from the ranging zone had a pause at $187 level after which it broke up the $178 level. Ethereum price pulled back before the Bulls gather momentum and broke up $187 level on May 06.
The MACD period 12 with its histogram is above zero levels and the signal lines making an attempt to bend down which may be a pullback.
Azeez Mustapha is a specialist in Computer Studies (including DTP), Forex and Crypto trading professional. Being expert technical and currency analyst, as well as experienced fund manager and author of several books, Azeez places strong focus on crypto market studies conducting comprehensive price analyses and sharing forecasts of presumptive market trends.
