(MENAFN- Daily Forex) Speculators within ETH/USD may be undergoing a shift of sentiment which may attract additional buying wagers in the month of April. Having touched a low of nearly 2450.00 on the 7th of March, ETH/USD has displayed a rather durable climb since hitting this price level. The low on the 7th didn't break through the lows seen in the last week of February, and this may have provided some buying impetus. However, ETH/USD did display choppy trading from the 8th until the 15th of March, when the 2500.00 mark was seen on a reversal lower.
From a technical viewpoint though, ETH/USD has produced incremental gains and its current price near 3375.00 is proof. Ethereum has led the broad cryptocurrency market higher, along with its major counterparts. The notion that nervous sentiment is being pushed to the side and optimistic speculation is growing in force appears correct. Having broken important short term resistance levels upward, ETH/USD is now challenging a juncture it has not seen since the 12th of January.
If the 3400.00 mark can be toppled and values sustained above this juncture, traders would then have to set their sights on price action in ETH/USD from mid-December until the end of that month. Ethereum traded in a rather choppy range mostly between 3600.00 and 4000.00 between the 13th and 31st of December. Yes, these prices were displaying some weakness as Ethereum was sinking from its high of nearly 4,900.00 on the 10th of November, so buyers must remain cautious.
However, ETH/USD like all cryptocurrency for traders is about trend and the recent turnaround in value is attractive. Conservative bullish speculators may want to see the 3400.00 level broken higher and sustained; they may even look for December prices of 3600.00 to be toppled first. Speculators willing to take the risk and look for upside movement sooner rather than later however, cannot be faulted. History in the cryptocurrencies often proves that turnarounds upward, after strong bearish trends have ended can develop fast.
Bullish traders should remain realistic; targeting highs near 4000.00 may prove to take too much time. The use of take profits and cautious leverage is encouraged. Yes, ETH/USD could certainly selloff and sink below important support, but for traders who believe the tide has turned in the broad cryptocurrency market, they may be proven correct if they believe ETH/USD could produce additional price velocity higher.
ETH/USD Outlook for April:
Speculative price range for ETH/USD is 2770.00 to 4125.00.
Skeptics of the recent move higher may try to be sellers at the current price levels ETH/USD are challenging. However they should have strong stop losses working in case Ethereum continues its march higher. If ETH/USD is able to puncture the 3300.00 mark lower and begins to make 3200.00 look vulnerable, this could make speculators nervous who have been pursuing buying positions. If the 3000.00 mark is broken lower, this could set off alarm bells if the key psychological level fails to hold back a selling tide and more trouble could loom.
Support has shown some durability in March. If ETH/USD prices are sustained above the crucial support level of 3100.00 this could be looked at in a positive light by some traders who may believe it is just a consolidation level before the next move upwards is created.
The 3400.00 to 3500.00 marks should be watched carefully. If the 3500.00 suddenly looks vulnerable, ETH/USD could see additional buying be propelled as traders come to the perceived conclusion that December values are about to be retested. After suffering a long bearish trend, buyers of ETH/USD may believe now is the time to pursue more upside. Traders need to certainly be careful and be willing to cash in their winnings before they vanish upon sudden reversals lower with their speculative positions.
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