- Ethereum price seems to be done with its retracement after bouncing off a support barrier at $2,045.
- ETH could rally 15% to set up a higher high at $2,460.
- A breakdown of the June 27 swing low at $1,804 will invalidate the bullish thesis.
Ethereum price experienced a minor pullback after a massive rally from the range low. The correction ended as ETH bounces off a critical support level.
Investors can expect ETH to slice through the mid-point of the range and tag the immediate resistance levels.
Ethereum price ponders a 15% rally
Ethereum price set up a swing high on June 30 and $2,287 and began retracing. The support level at $2,045 ended the pullback and reversed the trend to bullish.
So far, ETH has climbed only 7% but more seems to be on its way. A potential spike in buying pressure that pushes ETH to slice through the 50% Fibonacci retracement level at $2,320 will confirm the presence of buyers.
In such a case, investors can expect the smart contract token to rally another 6% to tag the resistance level at $2,460. However, if the buying pressure continues to pour in, the subsequent supply barriers at $2,552 and $2,640 might be the next target for bulls.
In a highly bullish case, Ethereum price might also propel to tag the range high at $2,912.
ETH/USDT 4-hour chart
Regardless of the bullishness at the current levels, if Ethereum price slices through $2,045, it will indicate the lack of buying pressure. In this case, ETH might retest the next demand barrier at $1,965.
However, a breakdown of $1,804 followed by an inability to flip it will invalidate the bullish outlook. In such a case, ETH might slide to the range low at $1,728.