The cryptocurrency market has been fascinating since the start of the fourth quarter, with the prices of the top two tokens maintaining an upward trend. Although bearish forces occurred frequently, Bitcoin and Ethereum prices traded close to the uptrend. This means the bulls are preparing for a new price move, which could trigger a possible bull market close this year.
Ethereum price is showing strength from $1,100 to $2,300, with three upsides and weekly RSI close to resistance level. These conditions mean that the price is close to its peak. The token is trading within a bullish channel but above the pivotal support level. However, this support level is expected to face a challenge where the bears may do everything in their power to break below the channel.
Currently, ETH price is trading near the major resistance level of $2,500 and is eventually heading towards the upper band of the channel. To do so, the second-largest token would need to test and clear temporary resistance at $2386. However, the resident RSI may remain a major concern for now as the price appears likely to reach the lower band of the channel. This move could cause the price to enter an important support zone where bullish strength is expected to emerge.
After testing support, the price is expected to trigger a healthy bounce, but declining volume could lead to a bearish scenario. RSI, MACD, DMI, TSI, etc. are showing bearish signs on daily time frames. This makes a bearish collapse more likely, implying that the price of ETH will plummet below $2000 by the end of 2023. However, a bullish rebound could follow, but for catalysts like BlackRock, it is expected to take more time. A rally in the spot ETH ETF could derail the bearish scenario and hit new highs.