Ethereum price has been making headlines as it shows signs of a potential trend reversal. Recently, Ethereum made a remarkable climb above $3,350, sparking interest among investors and traders. This surge, however, has been met with resistance, leading to a correction from the $3,450 mark. As Ethereum hovers around $3,200, investors are left wondering if this signals the beginning of a new upward trend.
Ethereum Price Movement
The Ethereum price experienced a significant increase above the $3,350 resistance level, outperforming Bitcoin. The bulls managed to push the price beyond $3,400, but it faced strong resistance below $3,450. The price reached a high at $3,448 before correcting its gains.
During this correction, the price dipped below the 23.6% Fibonacci retracement level of the upward wave from the $2,914 swing low to the $3,448 high. Furthermore, a break below a bullish trend line with support at $3,240 on the hourly chart of ETH/USD was observed. Currently, Ethereum is trading near $3,200 and the 100-hourly Simple Moving Average.
Resistance Levels to Watch
For Ethereum to continue its upward trajectory, it must overcome several resistance levels. The initial resistance is near $3,250, followed by a more significant barrier at $3,300. If the Ethereum price can break through the $3,320 level, it may head toward $3,400. An upward break above this region could lead to potential gains, pushing Ethereum towards the $3,450 or even $3,500 resistance zones.
Potential for More Losses?
Despite the recent surge, the Ethereum price could face further declines if it fails to surpass the $3,250 resistance level. Immediate support lies near $3,200, with a more substantial support level at $3,180, aligning with the 50% Fibonacci retracement of the recent upward wave.
A decisive move below the $3,180 support could trigger additional losses, driving the price towards the $3,150 mark. Any further decline might see Ethereum testing the next key support at $3,000.
Technical Indicators
The hourly MACD for ETH/USD is gaining momentum in the bearish zone, and the RSI is currently below the 50 mark, indicating a bearish sentiment. Major support levels to monitor are $3,180 and $3,000, while resistance levels are $3,300 and $3,400.
As the Ethereum price navigates these critical levels, investors and traders should remain vigilant for any signals of a trend reversal. The coming days will be crucial in determining the next direction for Ethereum.
