ETH Eyes a Return to $1,800 to Target $2,000 on Credit Suisse Woes

The Day Ahead

Investors should continue to monitor updates from UBS and Credit Suisse talks. News of an agreement for UBS to acquire Credit Suisse would support riskier assets. However, investors would likely face a stern test on news of failed talks that could lead to the collapse of the Swiss banking giant.

Shapella upgrade news will continue to draw interest as the April 12 upgrade date approaches.

Investors should also monitor the crypto news wires, with regulatory activity and US lawmaker chatter focal points. A quiet session would leave Binance, FTX, and updates from the ongoing SEC v Ripple case to move the dial.

Ethereum (ETH) Price Action

At the time of writing, ETH was up 1.08% to $1,783. A bullish start to the day saw ETH rise from an early low of $1,763 to a high of $1,792.

Technical Indicators

ETH needs to move through the $1,788 pivot to target the First Major Resistance Level (R1) at $1,822 and the Saturday high of $1,846. A return to $1,800 would signal a breakout session. However, Shanghai upgrade news and the crypto news wires should be ETH-friendly to support a breakout.

In the event of an extended rally, the bulls would likely test the Second Major Resistance Level (R2) at $1,881 and resistance at $1,900. The Third Major Resistance Level (R3) sits at $1,974.

Failure to move through the pivot would leave the First Major Support Level (S1) at $1,729 in play. However, barring an event-fueled crypto market sell-off, ETH should avoid sub-$1,700 and the Second Major Support Level (S2) at $1,695. The Third Major Support Level (S3) sits at $1,602.

Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal. Ethereum sat above the 50-day EMA, currently at $1,684. The 50-day EMA pulled further away from the 100-day EMA, with the 100-day EMA widening from the 200-day EMA, delivering bullish signals.

A hold above the Major Support Levels and the 50-day EMA ($1,684) would support a breakout from R1 ($1,822) to target R2 ($1,881) and $1,900. However, a fall through S1 ($1,729) would give the bears a run at S2 ($1.695) and the 50-day ($1,684). A fall through the 50-day EMA would send a bearish signal.