Key Points:
- Current Dynamics: Ethereum price recently dipped below $3,760 but recovered, supported by the 100-hourly SMA.
- Trading Range and Trend: Consolidating below the 23.6% Fibonacci retracement level, a bullish trend line at $3,760 is key.
The current price dynamics of Ethereum reveal a noteworthy fluctuation, with the cryptocurrency recently experiencing a decline below $3,760. Following this dip, Ethereum retested the support level at $3,720, forming a low of $3,728. However, the market has shown resilience, and the current trading price has bounced back above $3,760, supported by the 100-hourly Simple Moving Average (SMA).
Ethereum Price Rise Hinges on Clearing $3,800
Ethereum’s price action demonstrates the potential for a significant increase, provided it can move above the $3,800 mark. However, bears remain active near the $3,840 level, where a recent high of $3,836 was formed. This resistance has kept the price within a consolidating range of $3,728 to $3,836, suggesting a period of accumulation before a potential breakout. The market must clear the immediate resistance levels to sustain upward movement and reach new highs.
Ethereum’s Bullish Trend Relies on $3,760 Support.
The trading range for Ethereum has been consolidating its gains, currently positioned below the 23.6% Fibonacci retracement level. A bullish trend line is forming, providing support near the $3,760 level. This trend line is critical for maintaining the bullish outlook, as any drop below it could signal a shift in market sentiment.
Ethereum Price: Resistance Levels at $3,820 to $4,220
Several resistance levels are crucial in determining Ethereum’s potential upside. The immediate resistance is $3,820, followed by major resistance at $3,840. If Ethereum can surpass these hurdles, the key resistance at $3,920 comes into play. Beyond these levels, potential upside targets include $4,000, $4,080, and $4,220. Breaking through these resistance levels could increase price appreciation and attract bullish activity.
Downside Risk: Ethereum Support at $3,780 and $3,760
In a downside scenario where Ethereum fails to clear the $3,840 resistance, the initial support lies at $3,780. The 50% Fibonacci retracement level at $3,782 also provides substantial support. Should these levels fail to hold, the next major support is at $3,760, and a drop below this could see the price testing the $3,720 level. A further decline might target a potential low of $3,650, indicating a bearish turn in the market.
Ethereum Indicators: MACD Slows, RSI Remains Strong
The technical indicators currently present a mixed picture. The hourly MACD (Moving Average Convergence Divergence) is losing bullish momentum, signalling a potential slowdown in upward price movement. However, the hourly RSI (Relative Strength Index) remains above 50, suggesting there is still some buying interest. The major levels to watch are the support at $3,760 and resistance at $3,840, which will dictate the near-term price action for Ethereum.
