Ethereum Sees Tactical Bottom as Price Nears $1800

A former Bank of America strategist believes Ethereum is forming a 'tactical bottom', according to a recent analysis report. Stephen Suttmeier, former Head of Technical Strategy at Bank of America, used moving averages (MA) to gauge short- and long-term momentum shifts in his projection.

The technical analysis suggests that if the price stays above $1690-$1700, it would support the thesis of Ethereum forming a tactical low above its June lows. Another confirmation for this bottoming pattern would be a reclaim of $1800.

If the 50DMA is decisively reclaimed as support (ETH price above $1800), the next upside target would be the 200-day MA at $2.2K, Suttmeier added. That would imply a 25% upside potential if the $2.1K obstacle is cleared.

However, on-chain metrics are not as bullish on ETH as price charts suggest. Ethereum's exchange sell pressure is still high, with CryptoQuant reporting a 6% surge in exchange selling pressure in the past few days as ETH attempted a rebound.