Ethereum Recovery Stalls as Price Remains Trapped Below $2,320

Despite an initial rebound from local lows, Ethereum is struggling to maintain bullish momentum. Technical indicators suggest that recovery hopes are beginning to fade as the asset faces significant resistance levels.

Hurdles on the Road to Recovery

Ethereum’s price recently initiated a recovery wave after finding support near the $2,235 zone. While it successfully pushed above the $2,265 and $2,280 marks—mirroring a slight uptick in Bitcoin—the momentum stalled significantly near the $2,320 resistance level. This area coincides with the 61.8% Fib retracement level of the recent downward move, acting as a formidable ceiling for the bulls. Currently, ETH is consolidating and trading below both the $2,300 mark and its 100-hourly Simple Moving Average.

Technical Outlook and Support Zones

Market indicators currently lean toward a bearish outlook. The Hourly MACD is gaining momentum in the bearish zone, while the Hourly RSI has dipped below the 50 mark, signaling a loss of buying strength. A bullish trend line remains intact with support at $2,260; however, a decisive break below this could trigger a fresh decline. If the price fails to clear the $2,320 hurdle, the market may see a retreat toward major support levels at $2,250 and potentially as low as $2,120.

Potential Upside Breakout

Conversely, if the bulls can maintain the floor at $2,260 and successfully breach the $2,320 resistance, Ethereum could see renewed interest. A clear move above $2,380 would likely open the door for a rally toward $2,420. Beyond that, the next major targets for an extended recovery would be the $2,500 and $2,550 zones in the near term. For now, the market remains in a state of cautious consolidation.