Ethereum has recently undergone a corrective phase after reaching the $3,450 level. Currently, the cryptocurrency is stabilizing and encountering resistance at approximately $3,250. Over the short term, Ethereum has rebounded from the $3,120 support level and is trading above the 100-hourly Simple Moving Average, indicating overall positive sentiment despite recent fluctuations.
The price movement started with a notable increase that pushed Ethereum above the $3,120 resistance, bolstered by a rise in momentum across the cryptocurrency market. This surge saw Ethereum break through additional resistance levels at $3,220 and $3,320, eventually peaking at $3,445. However, after this spike, a correction occurred, bringing the price down to a low of $3,124 before it began consolidating again.
Currently, Ethereum ’s trajectory suggests it is consolidating above $3,120. Nevertheless, it faces significant resistance near $3,230, which aligns with the 50% Fibonacci retracement level of the recent decline. Additionally, a bearish trend line is forming, contributing to the hurdles at around $3,240. The key resistance levels to watch are $3,260 and $3,320; if Ethereum surpasses this critical level, it could jump towards $3,450 and potentially reach $3,550 in subsequent trading sessions.
On the downside, if Ethereum fails to break through the $3,250 resistance, it risks initiating a further decline. The immediate support level to monitor is at $3,150, followed closely by the critical $3,120 level. A breach below this support could signify a move towards $3,050, with $3,000 marking the next significant level of support, followed by $2,880 as an additional buffer. Overall, technical indicators suggest a cautious outlook as the asset navigates these critical levels.
