Ethereum price expanded its rise to $3,900. ETH is now consolidating gains and could target a move above the $4,000 resistance.
- Ethereum traded at a new multi-month high above $3,880.
- The price is trading above $3,700 and the 100-hour simple moving average.
- The hourly chart of ETH/USD (data feed via Kraken) shows a short-term bullish flag pattern with resistance forming at $3,850.
- A break above the $3,850 resistance area could resume the advance.
Ethereum Price Aims Higher
Ethereum price, like Bitcoin, continued its upward trend above the $3,750 level. BTC failed to extend its gains above the $69,200 area, but ETH cleared the $3,850 level.
It traded at new multi-month highs above $3,880 and recently began a consolidation phase. There was a decline below the $3,800 level. The price tested the 23.6% Fib retracement level of the recent wave from the $3,211 low to the $3,898 high.
Ethereum is currently trading above $3,700 and the 100-hour simple moving average. Immediate upside resistance is near the $3,850 level. There is also a short-term bullish flag pattern on the hourly chart of ETH/USD with resistance forming at $3,850.
Source: ETHUSD on TradingView.com
The first major resistance is near the $3,880 level. The next major resistance level is near $3,920, above which the price could gain upward momentum. The next stop for the bulls could be near the $4,000 level. If there is a move above the $4,000 resistance, Ethereum may rebound towards the $4,080 resistance. A test of $4,120 may be needed for further gains.
Another drop in ETH?
If Ethereum fails to clear the $3,850 resistance, another downward correction could begin. Initial support for the downside is near the $3,740 level.
The first major support is near the $3,650 area. The next major support could be the $3,550 zone or the 50% Fib retracement level of the recent wave from the $3,211 swing low to the $3,898 high. A clear move below the $3,550 support could lead the price towards $3,400. Any more losses could push the price down to the $3,320 level.
technical indicators
Hourly MACD – ETH/USD MACD is losing momentum in the bullish zone.
RSI per hour – The RSI for ETH/USD is now above the 50 level.
Key Support Level – $3,650
Key Resistance Level – $3,850
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