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- Ethereum price is likely to undergo a retracement to the $1,202 to $1,218 demand zone to refill bullish optimism.<\/strong><\/li>\n
- A bounce from this level will allow ETH to sweep the buy-stop liquidity above $1,309 and $1,350.\u00a0<\/strong><\/li>\n
- Invalidation of the bullish thesis will occur below the $1,195 support level.\u00a0<\/strong><\/li>\n<\/ul>\n
Ethereum price shows a lack of bullish enthusiam, resulting in three failed attempts to overcome an immediate hurdle. As a result, ETH has slid lower and is likely to continue this path until it encounters a stable support level. This level will be a key area for interested buyers to accumulate the smart contract token for the next leg-up<\/a>.<\/p>\n
Ethereum price sets the stage for next rally<\/strong><\/h2>\n
Ethereum price shows a triple tap at the $1,309 level, indicating a failure to overcome this minor hurdle<\/a>. The latest attempt was on December 5, which resulted in a 4.5% downswing. While there seems to be an attempt at a bullish reversal, investors should pay attention to the four-hour demand zone, extending from $1,202 to $1,218.\u00a0<\/p>\n
This area is key in triggering a run-up since it contains the highest traded volume recorded since November 4 at $1,210, making this a solid support confluence. Interested buyers can accumulate ETH here.<\/p>\n
The targets for a rally that emerges here include the $1,309 and $1,359 equal highs, resting above which is the buy-stop liquidity. Assuming Ethereum price sustains bullish momentum after these hurdles, there is a good chance it will revisit the $1,422 resistance level. This move would bring the total gain to 17%.\u00a0<\/p>\n
However, considering the volume profile indicator, there is no resistance level up to $1,545<\/a>. So, market participants should consider holding their positions up to this level.<\/p>\n
![\"ETH\/USDT](\"https:\/\/editorial.fxstreet.com\/miscelaneous\/ETHUSDT_2022-12-06_08-56-06-638058948854589975.png\")
<\/a><\/p>\nETH\/USDT 4-hour chart<\/small><\/p>\n
While things are looking up for Ethereum price, a breakdown of the $1,202 level will be the first sign of weakness for bulls. If this outlook is followed by a four-hour candlestick close below $1,195, it will invalidate the bullish thesis.<\/p>\n
In such a case, Ethereum<\/a> price is likely to revisit the $1,156 support level to recuperate the losses and attempt the recovery rally again.<\/p>\n
\n - A bounce from this level will allow ETH to sweep the buy-stop liquidity above $1,309 and $1,350.\u00a0<\/strong><\/li>\n