In a new strategy session, pseudonymous analyst DonAlt says he’s keeping a close watch on how Ethereum reacts at the $1,700 level.
“What we’re doing right now is basically we reclaimed that entire breakdown, so for me this is basically an entire reclaimed setup into like resistance but one that’s been tested before and one that’s been tested very, very recently. I don’t think $1,700 is going to do much [as resistance]. I could be completely wrong… But for me, it just looks like it wants to teleport up…
Even though it’s resistance, I’m expecting upside.”
The crypto strategist also says that ETH looks bullish on the higher timeframe after enduring a vicious downtrend since December 2021.
“Look at that [monthly] candle and how great it’s shaping out, just pretty much exactly what I wanted to see. You have great monthly candle (July) followed by one that gets people freaking out (August) and then you just keep on going along. That is a look I haven’t seen in a while for ETH… Now, it’s starting to look kind of good again obviously because of a narrative shift and a new narrative in town.”
At time of writing, ETH is trading at $1,762.
As for Bitcoin, DonAlt says that BTC will look “really good really fast” if it manages to flip resistance around $21,000 to support.
“I really like this momentum that we have today that isn’t necessarily caused by [the stock market]. Bitcoin’s up 7%. The S&P  is up 0.4%. The S&P is up over the last few days. Bitcoin just basically snapped, shot back up with it but more than the S&P so far. So I’m not hating it…
If we start coming back above $22,300 or that area… if we reclaim that, that it starts looking really good. Until that happens, [there’s] still no reason to be overly excited, but I really don’t mind the chart right now.”
At time of writing, Bitcoin is swapping hands for $21,344.