TLDR
Ethereum price is showing positive momentum above $2,650
A key bullish trend line is forming with support near $2,680
The next major resistance levels are at $2,750 and $2,780
If Ethereum breaks above $2,840, further gains are possible
Support levels to watch are at $2,720, $2,680, and $2,650
Ethereum, the second-largest cryptocurrency by market capitalization, continues to show strength in the crypto market as its price climbs above the $2,700 mark.
The digital asset has been on an upward trajectory, breaking through several resistance levels and setting its sights on the $2,850 target.
In recent trading sessions, Ethereum has maintained a positive zone above the critical $2,580 and $2,620 resistance levels.
The price is currently trading above $2,650 and the 100-hourly Simple Moving Average, indicating strong bullish sentiment among traders and investors.
Technical analysis reveals a key bullish trend line forming with support near $2,680 on the hourly chart of ETH/USD. This trend line coincides with the 50% Fibonacci retracement level of the upward move from the recent swing low of $2,576 to the high of $2,765.
The presence of this trend line suggests that buyers are in control and are likely to defend this support level in case of any short-term pullbacks.
As Ethereum continues its ascent, it faces immediate resistance near the $2,750 level. A successful breach of this barrier could pave the way for a test of the $2,765 level, which marks the recent local high.
If the bulls manage to push the price above this resistance, the next target for Ethereum would be the psychologically important $2,800 level, followed by $2,840.
Market analysts suggest that if Ethereum can clear the $2,840 resistance, it could trigger a fresh rally, potentially sending the price towards the $2,880 resistance zone in the near term.
Some optimistic projections even point to the possibility of Ethereum testing the $2,920 or $2,950 levels if the current momentum persists.
A break below these support levels could potentially push Ethereum’s price towards the $2,650 mark. Further bearish pressure might test the $2,620 support level, with the next key support situated at $2,550.
The recent price action in Ethereum comes amidst a broader recovery in the cryptocurrency market. Bitcoin, the largest cryptocurrency, has also shown stability above certain key levels, which has had a positive effect on the entire crypto ecosystem.
Traders and investors are closely monitoring Ethereum’s price movements, as a sustained break above $2,800 could signal the start of a new bullish phase for the asset.
The upcoming implementation of Ethereum’s scaling solutions and the continued growth of decentralized finance (DeFi) applications on the Ethereum network are factors that could potentially drive further demand for the cryptocurrency.
As of the latest data, Ethereum is trading at $2,735, up 2.5% in the last 24 hours. The trading volume has seen a significant increase, suggesting growing interest from market participants. The total market capitalization of Ethereum now stands at $329 billion, further cementing its position as the second-largest cryptocurrency.
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