Ethereum’s price has been consolidating above the $2,700 resistance level, showing signs of potential bullish momentum if it manages to clear the $2,785 resistance zone. However, the cryptocurrency is facing challenges in gaining pace for a move above the $2,800 level. The price is currently trading above $2,700 and the 100-hourly Simple Moving Average, indicating a certain level of stability in the market.
Recently, Ethereum formed a base above the $2,650 level and initiated a steady upward move above $2,720. The price climbed towards $2,820, reaching a high at that level before experiencing a correction similar to Bitcoin’s price movement. This correction resulted in a minor pullback below the $2,780 level, with the price declining below the 23.6% Fib retracement level of the upward move.
While Ethereum’s price is currently trading above $2,720 and the 100-hourly Simple Moving Average, there is a key bullish trend line forming with support at $2,720 on the hourly chart of ETH/USD. If there is another increase in price, potential hurdles may be encountered near the $2,780 level. The first major resistance is expected near the $2,820 level, with a close above that level potentially pushing Ether towards the $2,880 resistance.
On the downside, initial support is around $2,720 and the aforementioned trend line. The first major support level is near $2,675 or the 50% Fib retracement level of the recent upward move. A clear drop below $2,675 could lead the price towards $2,620, where bullish interest may arise. Further losses could result in Ethereum reaching the $2,550 support level, with a key support zone at $2,500.
Ethereum’s price consolidation above the $2,700 resistance level presents both opportunities and challenges for traders and investors. While a break above the $2,785 resistance zone could signal the start of a bullish momentum, failure to clear this level might lead to another downward trend. It is essential to closely monitor the support and resistance levels mentioned to make informed decisions in the volatile cryptocurrency market.
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