Ethereum nears $2,000, but analysts say it’s just another ‘relief rally’

On May 30, the cryptocurrency market experienced a much-needed rally, with Bitcoin (bitcoin) climbed above $30,900, ether (Ethereum) rose 5.84% to $1,930, but analysts warned that it may be too early to predict a reversal.

ETH/USDT 1-day chart. Source: TradingView

Here are several analysts’ views on Ethereum’s outlook and the major support and resistance levels to watch.

major support bounce

Ethereum’s rally on May 30 was “no surprise” to market analyst and pseudonymous Twitter user Rekt Capital. post The chart below, states that “it’s more about how much #ETH will move from here.”

ETH/USD 1-month chart.Source: Twitter

Rekt Capital said:

“Technically, #Ethereum could rally around $2269, turning it into new resistance. The general takeaway is that whatever this rally turns into, it will likely be weaker than mid-2021 .”

Possible recovery to $2,700

Crypto trader Ace of Alts offers insight into Ether’s likely price trajectory, he post The chart below shows ETH “currently holding range lows again for the fourth time.”

ETH/USD 3-day chart.Source: Twitter

Alts ace says:

“If we manage to hold this on 3D, I might see a rally to the $2,700 area in the summer. That area could well be another LH [lower high] in a downtrend. However, R/R [risk/reward] Very good at this level. “

related: Industry experts say bear cycle that clears markets is healthy

Look for “one leg down”

While the rally in ether’s price was a welcome sight for traders, Crypto Tony warned, post The chart and warning below “Never lose sight of the big picture”.

ETH/USDT 1-day chart.Source: Twitter

Crypto Tony says:

“Yes, things are looking good at the moment, but to me it’s just a relief rally. We don’t have a broken market structure on the time frame and I’m still looking for further downside opportunities unless proven.”

According to the provided chart, another drop has the potential to bring the price of Ether to the $1,500 range.

The overall cryptocurrency market capitalization is currently $1.271 trillion, with Bitcoin’s dominance rate of 45.9%.

The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk and you should do your own research when making a decision.