Ethereum Price Prediction for August 23: Bulls Dominate as ETH Surges 9%

Ethereum (ETH) has gained 9% in value, with the current price at $4,718. The hourly chart shows the rate in the middle of a local channel between $4,659 and $4,817, with the nearest level of $4,783 a key resistance to watch. A weekly candle close far from the peak formed in November 2021 could lead to a test of the $4,500 range by the end of the month.

Ethereum (ETH) has shown significant volatility in recent trading sessions, with the cryptocurrency gaining 9% in value to reach a current price of $4,718. According to the latest hourly chart, ETH is trading within a local channel between $4,659 and $4,817. The nearest level of $4,783 serves as a key resistance point to watch [1].

Technical analysis suggests that a weekly candle close far from the peak formed in November 2021 could lead to a potential test of the $4,500 range by the end of the month. This scenario is supported by the current price action, which has been consolidating within the aforementioned range [2].

On the daily chart, Ethereum has been retracing after its parabolic advance stalled at the $4,800 all-time high (ATH). The price recently found support around the 0.5 Fibonacci retracement level ($4,070), which aligns with the ascending channel’s midline and prior demand levels. If this support weakens, the next major demand zone sits within the 0.618–0.786 Fibonacci retracement range ($3,900–$3,660), a region that could act as an accumulation zone if bearish momentum persists [1].

The 4-hour timeframe shows that ETH has rebounded from the $4,200 support level, which overlaps with the ascending trendline. This confluence makes the $4,200 zone a crucial battleground for buyers. The price action has since developed a short-term consolidation range between $4,200 and $4,400, resembling an inverted head and shoulders pattern. A confirmed breakout above $4,400 would validate the inverted H&S formation, opening the path for a renewed push toward the ATH region. Conversely, failure to hold the $4,200 support and trendline would expose ETH to deeper retracements, potentially targeting the 0.702–0.786 Fibonacci zone [1].

The on-chain analysis highlights the liquidation heatmap, which indicates that Ethereum continues to trade with sharp swings after its rejection from the all-time high. The liquidation heatmap shows two critical liquidity zones: $4,500–$4,700 and $3,800–$3,900. These zones could attract prices higher or lower, respectively, depending on the direction of the market [1].

In summary, Ethereum's price action is currently influenced by key support levels and market trends. The cryptocurrency is trading within a local channel and has shown signs of consolidation. A weekly candle close far from the peak formed in November 2021 could lead to a potential test of the $4,500 range by the end of the month. Technical and on-chain analysis suggest that the market remains range-bound and liquidity-driven, with volatility fueled by liquidation cascades on both sides.

References:
[1] https://cryptopotato.com/eths-rally-hinges-on-these-crucial-support-levels-ethereum-price-analysis/
[2] https://www.livebitcoinnews.com/ethereum-based-ozak-ai-crosses-2m-in-presale-investors-rush-in-before-1-launch-sends-price-skyrocketing/