Ethereum has recently exhibited a notable upward momentum, rebounding from the key support level of approximately $2,375. The cryptocurrency has successfully regained ground above the $2,550 mark and is currently facing resistance near the $2,620 threshold. This upward movement is supported by trading above both the $2,550 level and the 100-hour Simple Moving Average, indicating a consolidation phase.
Technical analysis reveals the formation of a short-term contracting triangle on the hourly chart, with support established around $2,560. This pattern suggests that price action could continue to build strength unless it drops below this support zone. If Ethereum maintains stability above $2,550, there is a potential for the price to initiate further gains. Key resistance levels to watch include $2,615, aligned with the 1.618 Fibonacci extension, and more substantial resistance near $2,650. An eventual breakthrough beyond these levels could pave the way for a rally towards $2,720, with subsequent targets possibly reaching $2,750 or even $2,800 in the near term.
However, if Ethereum encounters rejection at the $2,615 level, a retracement might ensue. Initial support exists at approximately $2,560, with a more critical support at $2,550. A decline below this threshold could open the door to further losses, with potential retests towards $2,520 or lower, including the $2,450 range. Ultimately, a sustained breach below $2,550 could signal a shift back to bearish pressure.
Market momentum indicators present a cautious outlook. The hourly MACD shows waning bullish momentum, while the Relative Strength Index remains slightly above the midpoint at 50, reflecting a neutral to slightly bullish stance. Overall, Ethereum ’s near-term price action hinges on its ability to clear resistance at $2,615 and hold above critical support levels.
