Ethereum, the much-vaunted digital currency, seemed to be grappling with its recent hurdles, struggling to break through the $3,420 resistance zone. A recent attempt at recovery brought nothing more than a frustrating consolidation period, raising fears of a decline should it slip below the $3,320 level.
Despite its uphill battle, Ethereum has been doggedly trying to pick up the pace in order to surpass the stubborn $3,420 zone mark. However, it has failed to breach the $3,400 barrier and the 100-hourly simple moving average remains ominously low. An ongoing bearish trend line appears to be in the works, making its presence felt with its resistance hovering around the $3,400 mark. This has been clearly displayed on the hourly chart of ETH/USD, fueled by data courtesy of Kraken. To venture higher up the ladder, Ethereum must overcome the rigid resistance levels of $3,400 and $3,425.
The Ethereum price did show some promise, sparking off a seemingly sustainable recovery wave that surpassed the $3,320 level considerably. Ethereum even managed to clear the $3,350 level, but its efforts were thwarted by the aggressive bears dominating the game at $3,420. The climax of this volatile tug of war witnessed Ethereum reaching a peak of $3,426, only to relapse into a correction phase similar to Bitcoin, thereby eroding away precious gains.
Amid this tumultuous landscape, Ethereum experienced a fall below the $3,380 mark. The downward spiral continued, taking the price beneath the 23.6% Fibonacci retracement level. This unfriendly shift was the result of an upward move from the $3,230 swing low to the steep $3,426 high, jolting bulls into action to safeguard against any further declines below the $3,320 level.
Despite the formidable rally by the bulls, Ethereum remained shackled below the $3,400 mark and the average 100-hourly simple moving average. On the brighter end of the spectrum, Ethereum seems to be heading towards possible hurdles located near the trend line and the $3,400 mark. This is further complicated by the unfavorable bearish trend line coming together with a resistance hovering precariously around the $3,400 mark.
The first significant resistance lies looming ahead at the $3,420 mark. However, the real challenge comes in the form of the main resistance lurking around the $3,450 mark. If Ethereum manages to secure a victory by closing above this daunting $3,450 mark, this could usher Ether towards the imposing $3,550 resistance.
Looking further into the horizon, Ethereum is forecasted to encounter the next key resistance at around $3,620. For the optimists, a successful break beyond this formidable barrier could propel Ethereum higher up still. The subsequent hurdle, an intimidating peak of $3,680, looms in Ethereum’s path. If successfully conquered, Ethereum could gain significant momentum to ascend towards the substantial $3,720 level. Securing such impressive gains could pave the way for Ether towards the towering $3,880 resistance zone.
However, Ethereum’s path seems to be fraught with as many pitfalls as opportunities. Should it fail to overthrow the imposing $3,400 resistance, it may find itself on the daunting path of decline. Initial support on this treacherous journey lies around the $3,350 level. The first major support awaits Ethereum at the $3,320 zone, nestled next to the 50% Fibonacci retracement level, bound by the upward swing from $3,230 to the high of $3,426.
Should Ethereum breach the crucial $3,320 support mark, it may be nudged to descend towards the $3,250 level. Any further losses could inevitably push Ethereum towards the precipice of the $3,200 mark in the near future.
Taking a glance at the technical indicators, the MACD for ETH/USD conveys loss of momentum in the bullish zone while the RSI for ETH/USD currently teeters above the 50 zone. With major support at the $3,320 mark and primary resistance at $3,400, the virtual battlefield for Ethereum seems to be balanced on a razor’s edge. Every move Ethereum makes will dictate its fate in the world of digital currencies.
