Ethereum price is currently demonstrating positive signs above the $2,850 support level. This indicates a potential for further gains and a possible surge towards the $3,000 resistance zone. The gradual upward movement above the $2,800 support zone is a promising indicator for ETH investors.
An essential aspect to note is the formation of a key bullish trend line with support at $2,910 on the hourly chart of ETH/USD. This trend line provides a crucial level of support for Ethereum’s price movement. Additionally, the price is trading above $2,850 and the 100-hourly Simple Moving Average, both of which contribute to the positive trajectory of ETH.
In terms of resistance levels, immediate resistance on the upside is near the $2,940 level, followed by the major resistance at $2,985. If Ethereum manages to surpass these resistance levels, it could potentially rise towards the $3,000 mark and even test the $3,050 resistance zone. A breakthrough beyond $3,050 might lead to a rally towards the $3,120 resistance and potentially even the $3,250 level in the near term.
However, it is crucial to consider the downside risks as well. Failure to clear the $2,940 resistance could prompt a downside correction. Initial support on the downside can be found near the $2,910 level and the trend line zone. Further support levels include the $2,850 zone and the 50% Fib retracement level. A clear move below $2,850 support could potentially signal a downward movement towards $2,840 or the 100-hourly Simple Moving Average. The main support level to watch out for is at $2,780, and any additional losses could push the price towards the $2,720 level in the coming sessions.
When analyzing the technical indicators for ETH/USD, the MACD is gaining momentum in the bullish zone, while the RSI is currently above the 50 level. These indicators suggest a positive sentiment in the market, with the potential for further upward movement.
Ethereum’s price shows promising signs of upward movement, with key resistance and support levels to monitor closely. While the potential for a rally towards higher resistance levels exists, traders and investors should remain cautious of downside risks and conduct thorough research before making any investment decisions. The dynamic nature of the cryptocurrency market requires a careful approach to capitalizing on opportunities while mitigating potential losses.