Can Ethereum Rally Again? Analyzing the Odds for February

• Ethereum (ETH) appears to be experiencing a break in extreme price action in February after a strong rally in January.
• The 20-day exponential moving average (EMA) and the relative strength index (RSI) indicators display mixed results, making it difficult to predict whether ETH will experience a rally or a decline.
• If the bulls manage to drive the price above $1,680, Ethereum could reach $1,800. However, if the price falls below the 20-day EMA and 50-simple moving average (SMA), ETH’s price may tumble to $1,500 or even lower.

Ethereum’s February Price Action

Ethereum (ETH) has experienced a slow start in February after its January rally. This break in extreme price action is generally seen as positive as it gives the market time to breathe.

Technical Analysis

Currently, ETH is trading close to the $1,680 resistance level which makes it hard for the asset’s price to rise further above this level. The upward slope of the 20-day exponential moving average (EMA) favors buyers but the negative divergence on the relative strength index (RSI) shows that bullish power may be declining.

Possible Outcomes for ETH Price

If bulls manage to push ETH’s price above $1,680 then there is potential for a rally up to $1,800 or even higher if support holds out at this newly acquired level. On the other hand if prices drop below both 20-day EMA and 50-simple moving average (SMA), it is likely that Ethereum’s value will fall sharply down towards $1,500 or lower.

What Could Trigger an Uptrend?

For Ethereum’s prices to maintain an uptrend Bitcoin needs stabilize in order for investors‘ confidence not waver and allow them focus their attention on altcoins once again like ETH.

Conclusion

It remains unclear what direction Ethereum’s prices are headed in this month with mixed signals from technical indicators but investors should keep an eye out for any developments that could trigger either an uptrend or downtrend as they occur over time.