The price of Ethereum is reclaiming ground lost from the $2,120 support level. ETH has risen by more than 3%, and there is potential for further gains if it successfully surpasses the $2,250 resistance.
Key Points:
- Ethereum is on an upward trajectory from the $2,120 support area.
- The price is currently above $2,200 and the 100-hourly Simple Moving Average.
- On the hourly chart of ETH/USD (data feed via Kraken), a significant bearish trend line was breached, with resistance noted around $2,210.
- If the pair manages to surpass the $2,250 resistance zone, there is room for further upward movement.
Ethereum’s Price Initiates a Renewed Uptrend
The Ethereum price experienced a decline below the $2,150 level but demonstrated resilience above $2,120. After establishing a low around $2,116, Ethereum initiated a fresh upward movement, following a similar pattern to Bitcoin.
The ascent involved surpassing resistance levels at $2,150 and $2,200. Ethereum’s price exceeded the 50% Fibonacci retracement level of the downward trajectory from the $2,332 swing high to the $2,116 low. Additionally, a significant bearish trend line, marked by resistance near $2,210 on the hourly ETH/USD chart, was broken.
As of now, Ethereum is trading above $2,200 and the 100-hourly Simple Moving Average. On the upside, the price is encountering resistance in the vicinity of the $2,250 level, closely aligning with the 61.8% Fibonacci retracement level of the decline from the $2,332 swing high to the $2,116 low.
The upcoming significant resistance lies in the vicinity of the $2,280 level. A decisive breakthrough above this zone has the potential to propel the price towards the $2,330 level. Following this, the subsequent resistance is situated at $2,400. Further upward momentum may trigger a surge towards the $2,550 level, beyond which Ethereum could potentially rally and test the $2,750 zone.
Is Ethereum Headed for Another Downturn?
Should Ethereum fail to surpass the $2,250 resistance, the potential for another downturn emerges. Initial support on the downside is expected near the $2,210 level or the 100 hourly SMA.
The primary support level could be at the $2,200 zone. A breach below and a close under $2,200 may trigger a significant decline. In such a scenario, Ether might revisit the $2,120 support. Further losses could potentially drive the price towards the $2,000 level in the coming days.
Technical Indicators:
- Hourly MACD – The MACD for ETH/USD is gaining bullish momentum.
- Hourly RSI – The RSI for ETH/USD is currently above the 50 level.
Key Support Level – $2,200
Key Resistance Level – $2,250