After experiencing a downward trend, Ethereum has begun to show signs of recovery as the price surged above the $3,000 mark. This upward movement has positioned ETH above the 100-hourly simple moving average, indicating a potential shift in momentum for the cryptocurrency. However, despite this positive development, Ethereum is still facing several hurdles that may impede its continued ascent.
Ethereum found initial support at $2,820 before embarking on its recovery journey. The price is currently trading above $3,100 and the 100-hourly Simple Moving Average, suggesting a bullish undertone in the market. Moreover, a key bullish trend line is forming with support at $3,110 on the hourly chart of ETH/USD, further reinforcing the positive outlook for Ethereum.
While Ethereum has managed to surpass the $3,000 level and clear resistance at $3,050 and $3,120, it encountered resistance near the $3,165 zone. A subsequent correction led to a minor dip below $3,150, but the price has remained stable above the 23.6% Fib retracement level. Immediate resistance is anticipated near the $3,165 level, with major resistance levels at $3,200, $3,250, and potentially $3,350. A sustained bullish momentum could drive Ethereum towards the $3,500 and $3,620 resistance zones. On the downside, initial support lies at $3,100, followed by key support at $3,000 and $2,940. A breach below $2,940 could trigger a bearish trend towards $2,820 and $2,650 in the near term.
The hourly MACD for ETH/USD suggests a weakening bullish momentum, signaling a possible consolidation phase in the market. However, the hourly RSI is currently above the 50 level, indicating a positive sentiment among traders. It is crucial for Ethereum to maintain its support levels and overcome resistance barriers to sustain its upward trajectory.
Ethereum’s price recovery reflects a bullish sentiment in the market, with key support and resistance levels dictating its future trajectory. While the cryptocurrency has shown resilience in the face of market volatility, investors should exercise caution and conduct thorough research before making any investment decisions. Ethereum’s ability to navigate the current price obstacles will determine its sustainability in the broader cryptocurrency landscape.
