In a thrilling development for the cryptocurrency world, Ethereum, the world’s second-largest blockchain platform by market capitalization, has seen its price surge to a heartening $3,840. Riding the high wave, Ethereum appears set to target the coveted $4,000 level, affirming its robust performance in the tumultuous virtual currency market.
Ethereum commenced this robust rally by breaching the stout $3,750 resistance zone, visibily underlining its high-growth potential. As it stands, the cryptocurrency is trading over the $3,700 mark, impressively above the 100-hourly Simple Moving Average, signifying a healthy bullish trend in the market.
A glance at the ETH/USD hourly chart reveals an intriguing pattern – the short-term bullish trend line indicative of strong investor confidence, holds a steadfast support at $3,710. The cryptocurrency appears poised to strengthen its upward trajectory unless it plunges beneath the $3,380 support line that is fortifying its current rise.
This fresh surge in Ethereum’s price comes hot on the heels of encouraging reports of a possible ETH ETF, which catalyzed its surge beyond the $3,500 and $3,650 resistance levels. Most notably, Ethereum outdid Bitcoin, scaling past the $3,750 mark. A new weekly high was established at $3,838, adding another feather in Ethereum’s cap.
The cryptocurrency seems to be basking in its gains, its price solidly above the 23.6% Fibonacci retracement level – an indicator derived from the uptick wave from the $3,065 low to the $3,838 peak.
Intriguingly, Ethereum seems to have set its sights on the immediate resistance near the $3,840 level, looking to puncture it and brace for the major resistance at $3,880 level. If Ethereum manages to muscle its way above this level, the market could see an exciting rally propelling the price further north. Following this, the next key resistance waits at $3,950, breaching which, Ethereum may soar towards the coveted $4,000 gold mine.
Should Ethereum succeed in its attempt to conquer the formidable $4,000 level, a spike towards the $4,080 resistance wouldn’t be far-fetched. Any further gains might catapult Ethereum right towards the $4,200 resistance, potentially taking the cryptocurrency realm by storm.
However, Ethereum may face a correction if it fumbles at the $3,840 resistance level. Early support on the downside is located near the $3,710 mark and the bullish trend line. Further key support is set at the $3,620 zone. If Ethereum slips below this, it might retreat to the $3,450 mark or to the 50% Fibonacci retracement level of the upward stride from the $3,065 low point to the $3,838 zenith. Lastly, if Ethereum is dealt with more losses, it might retreat towards the $3,380 level in the foreseeable future.
In summary, Ethereum seems to have the high ground in the market for now, as affirmed by the gaining momentum of the Moving Average Convergence Divergence (MACD) for ETH/USD in the bullish zone and the Relative Strength Index (RSI) for ETH/USD adjusting from the 75 zone. Market experts are keenly watching the $3,620 support level and the $3,840 resistance level, waiting to see Ethereum’s next move in this electrifying race of numbers.
