There are seven days left until Bitcoin's halving, and the market appears to be gearing up for this event. BTC price is back above $71,000 after a brief dip, indicating that traders are becoming more optimistic about future trends. Additionally, the second largest token, Ethereum, has held above $3,500 and maintains a healthy rise to reach higher goals by the end of the month.
The question now arises whether traders will find themselves in a FOMO rally. Will this lead to ETH price soaring above $4000?
Prices have continued to move within a narrow range since facing a rejection from year-to-date highs of just above $4,000. Even though volumes remained within average levels, volatility failed to rise to the required levels. However, it is speculated that the market starting to turn bullish ahead of the halving will push ETH price above the accumulation zone and help it cross $4,000 soon.
The daily chart shows that ETH price is trading within a definitive symmetrical triangle, which typically flows in the direction of the induced volume. As the RSI remains within its average range, it shows that the participation of both bulls and bears is decreasing, so the bull market is balanced. Nevertheless, the bullish momentum is expected to increase further as the MACD remains within the bullish range and a “buy” signal may be issued soon.
These indicators indicate that the price is approaching a strong uptrend, but in that case the lowest level needed to reach is around $3678. If rejected before these levels are reached, the rally may not prove beyond the bearish influence, resulting in an extended bearish trend. With Ethereum (ETH) price trading near the upper resistance line, it seems unlikely that a strong breakout will materialize anytime soon.
