- Ethereum recently broke the $2,650 resistance, surging over 10%.
- Current support levels indicate a strong bullish trend line at $2,730
- If ETH breaks $2,950 resistance, the price could target $3,000 and beyond
Ethereum’s price has surged significantly lately, with the cryptocurrency breaking beyond the vital resistance level of $2,650. This was due to more than a 10% increase in the value of the cryptocurrency, which might probably set Ethereum’s further advance above $2,850.
To me, this truly reflects the strong momentum of Ethereum to stay as strong as possible in the market, and it is exciting to see how ETH is developing concerning the levels of support and resistance.
A Bullish Trendline Forms Above $2,730
Ethereum’s rally first started when it broke through the $2,650 level, which helped the price rise above $2,700 and break above the 100-hourly Simple Moving Average. At the moment, an upward-sloping bullish trend line is setting in.
This means that there will be considerable support around the $2,730 mark on the ETH/USD hourly chart. I believe this trend line can further extend Ethereum’s upward journey and retain its support even at minor retracements.
Recently, Ethereum has derived quite ample strength during sessions and outperformed Bitcoin by breaking above the $2,720 mark. Ethereum’s price has broken above the $2,800 level and traded as high as $2,848, indicating upside potential may continue.
The price remains above the 23.6% Fib retracement level of the swing from the bottom of $2,357 to the peak of $2,848. Therefore, holding at this level shows the resilience of Ethereum and underlines a very strong bullish trend since Ethereum has been a prime focus for many traders.
Critical Resistance Levels at $2,850 and Beyond
Currently, Ethereum is sustaining above $2,700 and continues to trade above the 100-hourly SMA.
The bullish trend line above support around $2,730 adds more stability. But Ethereum is facing some resistance around $2,850, and the next significant resistance is forming at $2,880, while a more formidable ceiling is placing itself under $2,950.
If Ethereum can break through these resistances, I think it could rally to $3,000 and even try to make a move upwards toward the $3,250 resistance region, provided the momentum remains bullish.
Failure to break above $2,850 resistance could mean a downward correction. For the moves being, I view this as a natural pullback, finding first support potentially around the $2,800 level. More immediate support is around $2,720, near the trend line.
If Ethereum breaks below the trend line, it may head toward the price at $2,650 levels; more serious losses could pull the price down to the range of $2,550 support. The next key support level would then be positioned at $2,500, which I believe could serve as the floor if Ethereum’s price trends lower in the near future.
Conclusion
In other words, the Ethereum trend is upward, and in my opinion, will continue higher provided the resistance levels are crossed. For sure, it’s an interesting time for ETH.
Watching how the cryptocurrency will behave around these critical levels is going to be instructive both for traders and investors.
