Ethereum has recently made significant strides in the cryptocurrency market by clearing the $4,000 resistance zone. This breakthrough indicates a positive trend for ETH, as it now trades above $4,000 and the 100-hourly Simple Moving Average. The price surge has led to a new multi-month high above $4,050 and has sparked interest in the potential for further gains.
A short-term breakout pattern is forming with resistance at $4,060 on the hourly chart of ETH/USD. This pattern suggests the possibility of a continued upward trajectory for Ethereum’s price. If the pair is able to clear the $4,080 resistance zone, it could signal a resumption of the increase. Immediate resistance on the upside is near the $4,060 level, followed by the first major resistance at $4,080.
The next major resistance level is anticipated near $4,120, above which Ethereum may experience a surge in bullish momentum. In this scenario, Ether could rally toward the $4,220 level and potentially even reach $4,300. Further gains might see Ethereum testing $4,350. However, failure to clear the $4,060 resistance could lead to a downside correction. Initial support lies near the $4,020 level, with major support at around $3,950 or the 50% Fib retracement level.
Hourly indicators like the MACD and RSI for ETH/USD are essential in determining market momentum. The MACD shows a loss of momentum in the bullish zone, while the RSI is currently above the 50 level. Major support rests at $3,950, with significant resistance at $4,080.
It is crucial to note that the information provided in this article is for educational purposes only and should not be taken as financial advice. Investing in cryptocurrencies carries inherent risks, and it is recommended to conduct thorough research before making any investment decisions. Ultimately, the decision to buy, sell, or hold any investments should be made independently and with full awareness of the potential risks involved.