Ethereum’s price is currently in a phase of consolidation, hovering above the $3,450 support zone. In order for ETH to see a positive movement, it must surpass the key levels of $3,560 and $3,620. The price has been trading within a specific range, maintaining levels above $3,500 and the 100-hourly Simple Moving Average. Despite attempts to break above the $3,550 resistance level, ETH has faced limitations in its upward movement, similar to Bitcoin. A recent high of $3,614 was reached before experiencing a pullback to as low as $3,476. However, the price is now showing signs of recovery and has moved back above $3,500.
Following the recent retracement, Ethereum now faces immediate resistance near the $3,550 level, which aligns with the 50% Fibonacci retracement level of the recent decline. Additionally, a new bearish trend line has formed, indicating resistance at the $3,550 mark. The first major resistance sits at $3,620, with further key resistance levels at $3,650, $3,720, and potentially $3,750. Breaking above these resistance levels could lead ETH towards the $3,820 zone and possibly even higher towards $4,000. However, if Ethereum fails to clear the $3,550 resistance, it may experience another downward trend.
Potential Support Levels
On the downside, initial support is seen near the $3,500 level, followed by a major support zone around $3,475. Further key support can be anticipated at the $3,420 level. A decisive move below $3,420 may push the price towards $3,320, with additional losses potentially leading to the $3,240 level.
Observing the technical indicators, the hourly MACD for ETH/USD is showing signs of losing momentum in the bearish zone. On the other hand, the hourly RSI has crossed above the 50 level, indicating a potential shift towards a positive momentum. These indicators suggest a mixed outlook for Ethereum’s price movement in the near term.
It is important to note that the information provided in this analysis is for educational purposes only and does not reflect the views or opinions of NewsBTC. Investing in cryptocurrencies carries inherent risks, and individuals are strongly advised to conduct their own research before making any investment decisions. It is crucial to understand that all investment decisions should be made at one’s own discretion and at their own risk.