Will an Upside Break Spark a Surge?
Ethereum price struggled below the $3,500 resistance while Bitcoin rallied. ETH is consolidating above $3,150 and a breakout to the upside is possible.
- Ethereum failed to accelerate a close above $3,400 and $3,450.
- The price is trading above $3,300 and the 100 hourly simple moving average.
- A key contracting triangle is forming with resistance at $3,355 on the hourly chart of ETH/USD (data feed via Kraken).
- If the $3,400 resistance is exceeded, the pair may start rising again.
Ethereum Price Eyes Key Upside Breakout
Ethereum price surges higher from $3,200 levels, but with Bitcoin. ETH cleared the $3,250 resistance and entered the short-term bullish zone.
The bulls were able to push the price above the $3,300 resistance zone. Furthermore, the price is well above the 50% Fib retracement level of the downward move from the swing high of $3,445 to low of $3,203. However, bears remain active below $3,400.
Ethereum price is currently trading above $3,300 100 hour simple moving average. On the upside, the price appears to face obstacles near the $3,350 level or the 61.8% Fib retracement level of the decline from the $3,445 swing high to $3,203 low.
There is also a key contracting triangle forming with resistance at $3,355 on the hourly chart of ETH/USD. The first major resistance level is near $3,400. Major resistance is now forming near $3,445.
A clear break above the $3,445 resistance may push the price towards the $3,550 resistance. An upside break above the $3,550 resistance may bring more gains in the coming sessions. In the above scenario, Ethereum may rise towards the $3,650 resistance zone or even $3,720 in the short term.
ETH falling again?
If Ethereum fails to break the $3,400 resistance, it may start another decline. Initial support on the downside is near $3,300. The first major support is located near $3,250.
A clear break below the $3,250 support could push the price towards the $3,200 support. If there is further decline, the price may move towards the $3,120 support in the near term. The next key support is located at $3,050.
Technical indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
hourly relative strength index – The RSI for ETH/USD is currently above the 50 area.
Major Support Level – $3,200
Major Resistance – $3,400
