The price of Ethereum has hit a multi-month high above $3,500. ETH is correcting its Bitcoin-like upward trend and could find strong bids near $3,250.
- Ethereum expanded its gains above the $3,500 resistance zone.
- The price is trading above $3,300 and the 100-hour simple moving average.
- The hourly chart of ETH/USD (data feed via Kraken) shows a major bullish trendline forming with support at $3,260.
- The pair may move lower, but the decline may be limited below the $3,260 support zone.
Ethereum Price Eyes Fresh Increase
Ethereum price, like Bitcoin, picked up speed after breaking through the $3,200 resistance zone. ETH cleared many hurdles near the $3,320 and $3,400 levels. It finally surpassed the $3,500 level.
A new multi-month high was formed near $3,515 before a downward correction. The price fell below the $3,420 and $3,400 levels. The 50% Fib retracement level of the bullish wave from the $3,110 swing low to the $3,515 high was also tested.
Ethereum is currently trading above $3,300 and the 100-hour simple moving average. Additionally, there is a major bullish trend line forming on the hourly chart of ETH/USD with support at $3,260. The trend line is close to the 61.8% Fib retracement level of the bullish wave from the $3,110 swing low to the $3,515 high.
Immediate upside resistance is near the $3,420 level. The first major resistance is near the $3,450 level. The next major resistance level is near $3,500, above which the price could gain upward momentum.
Source: ETHUSD on TradingView.com
In case of a move above the $3,500 resistance, Ethereum may rebound towards the $3,620 resistance. A test of $3,800 may be needed for further gains.
Are dips supported on ETH?
If Ethereum fails to clear the resistance at $3,420, a downward correction could begin. Initial support for the downside is near the $3,310 level.
The first major support is near the $3,260 area or trendline. The next major support could be the $3,250 zone. A clear move below the $3,250 support could lead the price towards $3,120. Any more losses could push the price down to the $3,050 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 below the 50 level.
Key Support Level – $3,260
Key Resistance Level – $3,420
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