Ethereum has recently experienced a notable increase in price, surpassing the $2,600 resistance level. Cementing its gains, Ethereum now appears to be positioning itself for a potential move beyond the $2,720 resistance mark.
The ascent began with Ethereum solidifying its standing above $2,550 and continuing its upward trajectory past $2,600 and $2,620, entering a favorable trading zone. Breaking through the $2,650 resistance, the price reached a high of $2,719 before entering a phase of consolidation, experiencing a minor pullback below $2,680. This dip accounted for a retracement below the 23.6% Fibonacci level, calculated from the $2,489 swing low to the $2,719 high.
Currently, Ethereum maintains its trade above $2,600, supported by the 100-hourly Simple Moving Average. Additionally, a bullish trend line with support around $2,540 is taking shape on the ETH/USD hourly chart. Despite this momentum, the price faces significant resistance hurdles around $2,650, with the primary resistance levels identified at $2,700 and $2,720. A decisive break above $2,720 could propel Ethereum towards the $2,880 mark and potentially higher to the $3,000 resistance zone.
Conversely, should Ethereum fail to surpass the $2,650 resistance, a downward correction might ensue. Initial support on this path is anticipated near $2,600 and around the 50% Fibonacci retracement level of the upward movement from the $2,489 low to the $2,719 high. The primary support resides near the $2,540 zone, and a clear breach below this level could drive the price towards the $2,500 and potentially the $2,450 support levels. The next critical support could be found at $2,320 if further declines occur.
Technical indicators show that the hourly MACD for ETH/USD is beginning to lose momentum within the bullish territory, while the hourly RSI maintains a position above the 50 mark. These indicators highlight a major support level at $2,600 and a significant resistance level at $2,650.
