Ethereum Name Service (ENS) price has reached an important Fib resistance at $20. If successful in moving above it, the next resistance would be at $24.
ENS has been increasing since reaching a minimum price of $7.35 on May 12. The upward price movement started following an ascending parallel channel on July 13.
On Thursday, ENS price moved above the middle of the channel (green circle). If the upward movement continues, the resistance line of the channel would be at $24.
ENS Price Wave Count Gives Initial Target Near $20
The wave count suggests that the ENS price is in the fifth and final wave of a bullish impulse which began on June 14. The breakout from the symmetrical triangle is a sign that wave five has begun, since symmetrical triangles are usually a part of wave four.
Fib measurements indicate that the price is likely to reach a top between $20 and $20.35. The target is found using the 0.618 length of waves one and three (black) and the 0.618 Fib retracement resistance of the entire downward movement (white).
Since the ENS price has nearly reached this level, it is possible that it will top soon. However, if it does not get rejected, the next likely target for the top would be between $23.40 and $24.50.
The target is created by the entire length of waves one and three (black) and is just above the 0.786 Fib retracement resistance level (white).
No Short-term Price Weakness in Place
Despite the possibility of a wave count top, the six-hour chart shows no signs of weakness.
On the contrary, Ethereum Name Price has broken out from an ascending parallel channel and the $18 horizontal resistance area.
Moreover, the RSI has not yet generated any bearish divergence. As a result, it seems likely that the price will continue to increase towards the previously outlined target of $24.
ENS price rallies towards $24
So far, there are no clear signs of weakness that forewarn of a potential reversal.
While ENS is trading at a Fib resistance level, it has broken out above horizontal resistance and an ascending parallel channel. So, the most likely price prediction scenario supports an increase towards $24.
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