Ethereum price has recently faced challenges in continuing its upward momentum, failing to break above the $3,500 resistance zone. After correcting gains, ETH is currently consolidating in a range above the $3,400 level. The price is now trading below $3,480 and the 100-hourly Simple Moving Average. A key declining channel is forming with resistance at $3,470 on the hourly chart of ETH/USD, signaling possible obstacles for further price appreciation.
Despite attempts to push past the $3,550 resistance zone, Ethereum experienced a correction in gains and dipped below the $3,500 level, following a similar trend to Bitcoin. Although the price has shown signs of recovery, with a low around $3,390 and a subsequent rise, it is still struggling to surpass key resistance levels. The bears are active near $3,500, failing to breach the 61.8% Fib retracement level. With strong resistance at $3,480 and $3,500, Ethereum may face further downside pressure if it fails to clear these hurdles.
In the event of a downward move, initial support is expected near $3,420, followed by major support at the $3,400 zone. A clear break below $3,400 could lead to a push towards $3,340, with further losses potentially targeting the $3,320 support level and eventually $3,250. On the flip side, if Ethereum manages to overcome the resistance at $3,500, it could pave the way for a rally towards the $3,550 and $3,650 resistance levels. A break above $3,650 might signal a bullish continuation towards the $3,800 resistance zone.
Looking at the hourly MACD for ETH/USD, it appears to be losing momentum in the bullish zone, signaling a potential shift in market sentiment. The hourly RSI, on the other hand, has climbed above the 50 zone, suggesting a slight improvement in buying pressure. These technical indicators could provide valuable insights into the future price action of Ethereum and help traders navigate the volatile cryptocurrency market effectively.
Overall, while Ethereum faces challenges in breaking above key resistance levels, it also has a potential for upside momentum if it manages to clear these hurdles. Traders and investors should closely monitor price movements and key support/resistance levels to make informed decisions in the current market environment.