Ethereum price recently experienced a recovery wave after falling to the $3,230 zone. The price surged above $3,350 but is now facing strong resistance at the $3,420 level. There is a key bearish trend line forming with resistance near $3,410 on the hourly chart of ETH/USD, and the price is currently trading below $3,420 and the 100-hourly Simple Moving Average. In order to continue higher, Ethereum must clear the $3,420 and $3,450 resistance levels.
After testing the $3,240 support zone, Ethereum began an upside correction, similar to Bitcoin. The price increased above $3,300 and $3,320 levels, with the bulls pushing it above $3,350. Despite a spike above the 61.8% Fib retracement level, the price is encountering strong resistance near $3,420. The first major resistance lies at $3,450, near the 76.4% Fib retracement level of the downward move from the $3,518 swing high to the $3,230 low.
A close above the $3,450 level could propel Ethereum toward the $3,520 resistance, with further resistance at $3,550 and $3,620. Any additional gains might lead the price towards the $3,650 and $3,720 levels. Conversely, if Ethereum fails to break above the $3,420 resistance, it could trigger another decline. Initial support lies at $3,375, followed by a more significant support at the $3,350 zone. A clear move below $3,350 might push the price towards $3,280 and potentially the $3,240 level in the near term.
In terms of technical indicators, the hourly MACD for ETH/USD is losing momentum in the bullish zone, while the hourly RSI is above the 50 zone. The major support level for Ethereum is at $3,300, with the major resistance level at $3,420. Traders and investors will be closely watching these key support and resistance levels to determine the next move for Ethereum’s price.
Overall, Ethereum’s price movement in recent days has shown signs of recovery, but it is currently facing strong resistance at the $3,420 level. A breakout above this resistance could open the doors for further gains towards $3,550 and beyond. On the other hand, a failure to break above $3,420 may result in another downside correction towards $3,280 and potentially lower levels. Traders should monitor key levels and technical indicators to make informed decisions regarding their Ethereum investments.
