TLDR
Ethereum found support at $2,350 and started a fresh upward movement
Price moved above $2,500 and the 100-hourly Simple Moving Average
Key resistance levels identified at $2,580, $2,620, and $2,650
Major support levels established at $2,450 and $2,500
Technical indicators showing bullish momentum with MACD and RSI positive
Ethereum, the second-largest cryptocurrency by market capitalization, has resumed its upward trajectory after finding strong support near the $2,350 level.
The digital asset has shown renewed strength in recent trading sessions, pushing above several key technical resistance levels and indicating potential for further gains.
The price movement began with a decisive bounce from the $2,350 support zone, demonstrating buyer interest at lower levels.
This initial support helped establish a foundation for the subsequent price increase, which saw ETH break through multiple resistance points.
In a notable technical development, Ethereum successfully cleared the $2,420 and $2,450 resistance levels, marking its entry into positive territory.
The breakthrough was accompanied by increasing trading volume, suggesting genuine buyer participation in the market.
The cryptocurrency has now positioned itself above the psychologically important $2,500 mark, which serves as both a symbolic and technical milestone.
This level has historically acted as a pivot point for price action, making the current position particularly noteworthy for traders and investors.
Technical analysis reveals that ETH has moved beyond the 76.4% Fibonacci retracement level, calculated from the recent swing high of $2,583 to the low of $2,357.
This mathematical indicator suggests strong recovery momentum from the recent downward movement.
Adding to the constructive technical picture, traders observed the break above a bearish trend line that had previously served as resistance at $2,460. This break occurred on the hourly chart, indicating a shift in short-term market structure.
The current price action places Ethereum above the 100-hourly Simple Moving Average, a widely watched technical indicator. This positioning typically suggests positive short-term momentum and often attracts additional buying interest from technical traders.
Market participants are now watching several key resistance levels that could influence future price movement. The immediate challenge appears at $2,580, followed by more substantial resistance at $2,620. A clear break above these levels could open the path toward $2,650.
Should buyers succeed in pushing the price above $2,650, the next target would likely be the $2,720 level. This area represents a notable resistance zone that could require substantial buying pressure to overcome.
However, the market also presents clear risk levels for traders to monitor. If Ethereum fails to maintain its momentum above current levels, initial support can be found near $2,520, with a more substantial support zone around $2,500.
The hourly MACD (Moving Average Convergence Divergence) indicator shows increasing momentum in the bullish zone, while the RSI (Relative Strength Index) remains above the 50 mark, supporting the current upward movement.
Trading volume patterns indicate steady participation from market participants, though volatility remains a constant factor in the cryptocurrency markets. The volume increase during the recent price rise adds credibility to the upward movement.
The price action has created a series of higher lows on shorter timeframes, a pattern typically associated with building upward momentum. This structure suggests that buyers are becoming more aggressive at progressively higher levels.
If selling pressure emerges and pushes the price below support levels, the $2,450 zone would become crucial. A break below this area could potentially lead to a test of lower support at $2,320.
As of the latest market data, Ethereum continues to trade above the $2,500 level, with immediate resistance ahead at $2,580 and support established at $2,450.
Be the first to comment