After experiencing some ups and downs, the Ethereum price seems to be on track for a potential recovery. It is currently hovering above the $3,000 level and the 100-hourly Simple Moving Average, which is a positive sign for the bulls. Additionally, there is a short-term declining channel or a bullish flag forming with resistance near $3,080 on the hourly chart of ETH/USD. If the price manages to break above the $3,110 resistance, it could gain some bullish momentum.
In the past few days, Ethereum remained stable above the $2,880 support zone before starting a decent upward climb. It successfully surpassed the $2,950 and $3,050 resistance levels, reaching a high of $3,110 before facing some selling pressure. Currently, the price is consolidating its gains above $3,000, with the next key resistance levels at $3,150, $3,220, and $3,320.
If Ethereum fails to clear the $3,110 resistance, it might encounter some downward pressure. The initial support is seen near $3,020, followed by a major support level at $2,975, which also aligns with the 61.8% Fib retracement level. A further drop below $2,975 could push the price towards $2,920, and eventually $2,820 in the near term.
Technical Indicators
Looking at the technical indicators, the hourly MACD for ETH/USD is showing signs of losing momentum in the bullish zone. On the other hand, the hourly RSI is currently above the 50 zone, indicating a potential continuation of the positive momentum in the short term.
The Ethereum price is currently in a critical position, with the $3,110 resistance level acting as a key barrier for the bulls. If the price manages to break above this level, we could see a further rally towards $3,320 and even $3,500. However, a failure to surpass the resistance could trigger a downside correction towards $2,920 and $2,820. Traders should keep a close eye on these levels and proceed with caution in their trading strategies.
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