The popular cryptocurrency Ethereum has started to rise again after the sharp declines in the past few days. However, this critical level must be overcome for further increases in Ethereum.
Ethereum is slowly rising towards the $2,500 and $2,550 resistance levels.
The price is trading below $2,500 and the 100 hourly simple moving average.
There was a move above a major bearish trend line with resistance near $2,500 on the hourly chart of ETH/USD.
The pair could rise steadily if there is a clear move above the $2,550 resistance zone.
Ethereum Price Faces Resistance
Ethereum, the second largest cryptocurrency in terms of market value, found support around $2,150 with the recent decline and started a new recovery wave. So much so that with this uptrend that started in ETH, the price even managed to rise above the $2,250 and $2,350 resistance levels.
Additionally, there was a move above a major bearish trend line with resistance near $2,500 on the hourly chart of ETH/USD, while the pair is still trading below $2,500 and the 100 hourly simple moving average.
Therefore, looking at the critical levels to follow in Ethereum, the first resistance on the upside is near the $2,500 level, while the first major resistance is near the $2,550 level.
Therefore, a possible clear move above the $2,550 resistance could trigger a steady rise in Ethereum price. In this case, ETH price may rise to the $2,720 levels.
Additionally, if there is an upside break above the $2,720 resistance zone, the upside in Ethereum could pick up momentum. A successful close above this level may result in Ethereum price rising back to $3,000 levels.
Fresh Dip in ETH?
However, if Ethereum fails to start a recovery wave above the $2,500 level, it could start a fresh decline. Therefore, looking at the critical levels to watch, it is seen that the first support on the downside is near the $2,420 level, while the first key support is formed near the $2,320 level.
Therefore, a downside break below the $2,320 level could trigger a sharp decline in Ethereum price. The next major support for the bulls is perhaps near the $2,200 area.
However, a downside break at these levels might pull the price back towards $2,150.
Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level: $2,320
Major Resistance Level: $2,550