Ethereum is recovering losses above $2,400 against the US Dollar. The question is what is stopping the recovery?
ETH price is rising, but it must clear $2,550 for a steady increase.
Ethereum is slowly moving higher towards the $2,500 and $2,550 resistance levels.
Further, the price is trading below $2,500 and the 100 hourly simple moving average.
There was a move above a major bearish trend line with resistance near $2,500 on the hourly chart of ETH/USD (data feed via Kraken). Also, the pair could rise steadily if there is a clear move above the $2,550 resistance zone.
Ethereum Price Faces Resistance and Recovery
Ethereum found support near $2,150 and started a decent recovery wave. ETH was able to climb above the $2,250 and $2,350 resistance levels at the time of writing.
Moreover, there was a clear move above the recent decline’s e 23.6% Fib retracement level, from the $2,547 swing high to $2,160 low at the time of writing.
In addition, there was a move above a major bearish trend line with resistance near $2,500 on the hourly chart of ETH/USD at the time of scripting.
In addition, the pair is still trading below $2,500. As per the 100 hourly simple moving average. Further, Immediate resistance on the upside is near the $2,500 level.
Fresh Dip in ETH?
If ethereum fails to start a recovery wave above the $2,500 level, it could start a fresh decline. Also, Initial support on the downside is near the $2,420 level.
The first key support is now forming near the $2,320 level. A downside break below the $2,320 level might spark a sharp decline.
Lastly, the next major support for the bulls may perhaps be near the $2,200 zone.
Any more losses could push the price towards the $2,150 level.