Ethereum Holds Strong, Eyes Next Major Breakout Above $3,250
Ethereum (ETH) is showcasing a robust uptrend, recently breaking past the $3,200 mark and now consolidating its gains. Market analysts are closely watching key resistance levels, with a sustained move above $3,250 potentially igniting a fresh wave of appreciation for the leading altcoin. This renewed bullish sentiment comes as ETH continues to trade above critical short-term indicators.
The Bullish Push and Resistance Ahead
After establishing a strong foundation above $2,920, Ethereum embarked on a significant upward trajectory, successfully conquering resistance zones at $3,000 and $3,050. While the bulls managed to propel the price past $3,150, they faced a notable challenge in breaching the $3,240 and $3,250 thresholds, with a recent high reaching $3,239 before a minor correction. Currently, ETH maintains its position above $3,120 and the 100-hourly Simple Moving Average. A short-term contracting triangle forming on the hourly chart indicates support around $3,130. Should Ethereum secure a decisive close above the $3,250 resistance, it could target $3,320, with further aspirations toward $3,450 or even $3,500 in the near future.
Potential Downside and Key Support Levels
Despite the prevailing bullish outlook, the path forward is not without its hurdles. If Ethereum struggles to clear the immediate $3,240 resistance, it could trigger a fresh wave of declines. Initial support on the downside is identified near $3,120, followed by a more significant support level around $3,050. A break below $3,050 might push the price towards the $3,000 mark. Further losses could see ETH retesting the $2,980 region and potentially the 50% Fibonacci retracement level of the recent move (from the $2,718 swing low to the $3,239 high). Crucial downside support also exists at $2,850 and $2,840.
Technical Indicators Signal Strength
From a technical perspective, key indicators are largely supportive of the current uptrend. The hourly Moving Average Convergence Divergence (MACD) for ETH/USD is showing positive momentum within the bullish zone, suggesting continued buying interest. Similarly, the hourly Relative Strength Index (RSI) for ETH/USD is positioned above the 50 zone, reinforcing the bullish bias. Traders should pay close attention to the major support at $3,130 and the pivotal resistance level at $3,240, as these will be crucial in determining Ethereum's next significant move.
