Ethereum price started a wave of recovery above $3,880. ETH is currently on the rise and could look for further gains if it clears the resistance at $4,050.
- Ethereum has started a new recovery above $3,800 and $3,880.
- The price is trading above $3,920 and the 100-hour simple moving average.
- On the hourly chart of ETH/USD (data feed via Kraken), the pair has broken out above a major bearish trendline with resistance at $3,940.
- If it trades above $4,050, the pair is likely to continue rising.
Ethereum price rises again
Ethereum price struggled to settle above $4,050, correcting most of its gains similar to Bitcoin. ETH price fell below the $4,000 and $3,800 levels.
I also tried the $3,680 zone. A low was formed at $3,677 and the price is currently correcting losses. There was a decent move above the 50% Fib retracement level of the recent decline from the swing high of $4,292 to the low of $3,677.
Furthermore, on the hourly chart of ETH/USD, the pair broke above the major bearish trendline with resistance at $3,940. Ethereum price is currently trading above $3,920 and its 100 hourly simple moving average.
On the upside, the price may face resistance near the $4,050 level and the 61.8% fib retracement level of the recent decline from the swing high of $4,292 to the low of $3,677. The next major resistance level is near the $4,120 level. The first major resistance level is near the $4,220 level.
A clear break above the $4,220 resistance could send the price heading towards the $4,320 resistance. A break above the $4,320 area could require further gains in the coming sessions. In the above case, Ether could rise towards the $4,440 resistance zone and even $4,500 in the short term.
Will ETH fall again?
If Ethereum fails to break through the resistance at $4,050, a fresh decline could begin. The first support on the downside is near the $3,940 level. The first major support is located near the $3,880 zone.
A clear move below the $3,880 support could push the price towards the $3,820 support. Any further losses could send the price towards the $3,680 area in the near term. The next significant support is $3,620.
technical indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.
hourly RSI – The RSI for ETH/USD is currently above the 50 zone.
Major Support Level – $3,880
Major Resistance Level – $4,050
