Bitcoin

Ethereum Gaining Momentum, Why ETH Could Retest $3,000 Soon


Ethereum gained pace above the $2,550 resistance area against the US Dollar. Ethereum price is trading in positive territory and could rise if it breaks the $2,750 resistance.

  • Ethereum is slowly moving upwards and it broke the key $2,500 resistance area.
  • The price is now trading well above $2,500 and a 100 hourly simple moving average.
  • There is a major bullish channel forming with support near $2,640 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could accelerate higher if it breaks the major resistance area of ​​$2,750 in the near term.

Ethereum price is gaining momentum

Ethereum started a good bullish move from $2400 support area. ETH rose above the $2,480 and $2,500 resistance levels. There was also a clear break above the $2,650 resistance area.

A top formed near $2,746 before the price started correcting to the downside. There was a breakout below $2,700 and $2,650. Ether fell below the 23.6% Fib retracement level of the upward move from the $2,277 swing low to $2,746.

It is now trading well above $2,500 and Simple moving average per 100 hours. There is also a major ascending channel forming with support near $2,640 on the hourly chart of ETH/USD.

Source: ETHUSD on TradingView.com

On the upside, there is an immediate resistance near the $2,700 level. The first major resistance is near the $2,750 level and the last higher level. A close above the $2,750 level could lead to a significant increase towards the $2,850 level. The next major resistance is near the $3,000 area.

Dips Limited in ETH?

If Ethereum fails to surpass the $2,700 and $2,750 resistance levels, it may initiate a downside correction. There is initial support on the downside near the $2600 area and the channel trendline.

A bearish breakout below the channel support could push the price towards the $2,500 support and the 100-hour simple moving average. The 50% Fib retracement level of the upward move from the $2,277 swing low to $2,746 high is also near the $2,510 level. The next major support is near the $2,450 level. Any further losses could push the price towards the $2,400 support level in the near term.

Technical Indicators

MACD per hourETH/USD’s MACD is slowly gaining pace in the bullish zone.

Hourly RSIThe RSI for ETH/USD is currently above the 50 level.

Key Support Level – $2500

Key Resistance Level – $2,750



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