Ethereum ’s price is currently in a recovery phase as it rebounds from the $3,500 level. Recent trading activity suggests a bullish sentiment, with the potential for the cryptocurrency to challenge the $3,700 resistance level in the near future.
After stabilizing above the $3,500 mark, Ethereum ’s value has risen past $3,620 and is above the 100-hour Simple Moving Average. The price movement indicates a break above a critical bearish trend line that had formed near the $3,600 level. As long as Ethereum manages to maintain this upward momentum, it is likely to continue its ascent if it surpasses the $3,700 barrier.
However, Ethereum recently faced difficulties in surpassing the $3,680 resistance, leading to a correction that brought the price below both the $3,600 and $3,550 support areas. This downturn saw Ethereum test the $3,500 level, where a low of $3,505 was recorded. Following this, the price began to bounce back, capitalizing on the breakout above $3,600 and $3,620. It has since moved beyond the 50% Fibonacci retracement level after the downward trend from the $3,760 peak to the $3,505 low.
While the price encounters resistance around $3,680, a breakthrough above the $3,700 range would confirm a more significant uptrend. If Ethereum can clear this high, it could lead to increases towards the $3,880 resistance level. Further gains could put the $4,000 and $4,120 targets in sight.
Conversely, should Ethereum be unable to overcome the $3,700 obstacle, it risks initiating another downturn. Key support levels to watch include $3,600, with further major support at $3,550. A decline below these levels could drive the price down to $3,500 or even $3,420 in the near term, positioning $3,350 as a critical support level if bearish momentum persists.
