As Ethereum started an upside correction from the $3,240 support zone, it faced strong resistance at $3,420. The price is currently trading below this level, as well as the 100-hourly Simple Moving Average. A key bearish trend line is forming with resistance near $3,410 on the hourly chart of ETH/USD (data feed via Kraken). In order to continue higher, the pair must clear the $3,420 and $3,450 resistance levels.
Ethereum price extended its losses and traded below the $3,350 zone, testing the $3,240 support level before starting a recovery wave similar to Bitcoin. Bulls pushed the price above $3,350 with a decent increase above $3,300 and $3,320 levels. However, the price is currently facing strong resistance near $3,420, with the 100-hourly Simple Moving Average still overhead.
Potential Upside Targets
On the upside, Ethereum is facing hurdles near the trend line and $3,420, with the first major resistance at $3,450. A close above this level could propel Ethereum towards the $3,520 resistance, followed by potential targets at $3,550, $3,620, and $3,650. If the price gains traction, it could even reach $3,720.
However, if Ethereum fails to clear the $3,420 resistance, it could face another decline. Initial support is near $3,375, with the first major support at the $3,350 zone. A clear move below $3,350 might lead to a drop towards $3,280, and further losses could bring the price down to $3,240 in the near term.
Technical Indicators
The hourly MACD for ETH/USD is losing momentum in the bullish zone, while the hourly RSI is now above the 50 zone. These indicators suggest a mixed outlook for Ethereum price, with both bullish and bearish signals present. Traders and investors will need to monitor the key resistance and support levels closely to gauge the next potential moves for Ethereum.