With the Ethereum price struggling around the $2,000 support, the question of when the digital asset will hit a bottom has continued to linger among investors. Naturally, a bottom is largely based on the Bitcoin price, setting the tone for the entire market. However, a crypto analyst has also suggested things to look out for that could help to confirm that the Ethereum price has actually hit a bottom and will begin to move upward once again.
Watch Out For The Ethereum Close Above $2,100
For now, the Ethereum price is still trending below $2,100, and crypto analyst Rawl has called this out as the next important level to break. Given the fact that the Ethereum price had fallen below $2,400 initially, but then didn’t make a complete weekly close, it suggests that this could be a takeout.
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Going by this, the Ethereum price now needs to actually make a close above $2,100 on the weekly chart to confirm if this is the bottom or not. Since the cryptocurrency completed the last week without making this close, then it moves into this week for another chance to make the close.
As the crypto analyst explains, a close above $2,100 would confirm the local bottom, setting the stage for the next price increase. The first move is expected to propel the altcoin as high as $2,400 in the primary move. However, the move is not expected to end there.
For a secondary move, Rawl points to a climb to $2,800-$3,000, and hitting the top of this prediction would mean that the Ethereum price would rise 50% from the current level at the time of this report. “So the plan remains the same, we will likely stay choppy here before properly breaking above 2,100 and heading toward 2,800–3,000,” the analyst stated.
Bears Could Still Take Over
Just like with any scenario, there is still the possibility that the Ethereum price does not make this weekly close and ends up falling below it. In this case, it would put the bears back in control, likely triggering a sustained decline that would keep the cryptocurrency’s price below the $2,000 level.
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Even in the case where the Ethereum price does close above $2,100 and completes the projected rally, the crypto analyst says this is only preceding a larger decline. In a previous post, the analyst had pointed out this possible large correction, but then posits that the Ethereum price could continue to rally and likely hit $6,500-$8,000 for a new peak.
Featured image from Dall.E, chart from TradingView.com