Key takeaways
- ETH has bounced back from the $4,250 low and is now trading around $4,470 per coin.
- The coin could rally towards the $4,700 mark soon as bulls intensify recovery efforts.
ETH bounces back above $4,400
The cryptocurrency market closed August bearish as Bitcoin and Ether tested new lows. Bitcoin, the leading cryptocurrency by market cap, tested the $107k low before bouncing back to now trade above $108k.
Ether also dropped to the $4,200 level, finding support around $4,250. It has now recovered nicely and is trading at $4,480 per coin. The bearish performance comes just a few days after Ether hit a new all-time high of $4,953.
With the recent support holding, Ether could rally higher in the short to medium term as analysts predict the coin to hit $6k over the coming weeks or months.
Ethereum targets $4,700 as $4,250 support holds
The ETH/USD 4-hour chart remains bullish and efficient, thanks to Ether recently hitting a new all-time high. ETH failed to maintain its upward momentum and dropped to the $4,200 region over the weekend.
At press time, ETH has recovered slightly and is trading above $4,400 per coin. The RSI of 52 shows that Ether is still in the positive territory, with the MACD lines also suggesting a bullish sentiment.
Closing above the next daily resistance at $4,488 could see Ether target the $4,700 level over the next few hours. An extended bullish run would allow Ether to move past its all-time high of $4,953 and set a new high above $5.
However, if Ether faces a correction and declines below the daily support at $4,232, it could extend the decline to retest the next support and TLQ level at $4k. This level could prove critical as failure to defend it could see ETH test the August low of $3,300.
