Ethereum Price Signals Promising Rebound, But Can It Break Key Resistance? Ethereum (ETH) has recently demonstrated a notable recovery, pushing above the $4,050 mark and entering a consolidation phase. This upturn has sparked optimism among investors, with analysts closely watching whether the second-largest cryptocurrency can sustain its momentum and overcome critical resistance levels to achieve further gains.
ETH's Resilient Recovery
After finding strong support near the $3,820 level, Ethereum initiated a fresh recovery wave, mirroring Bitcoin's recent upward trajectory. The digital asset successfully reclaimed the $3,880 and $4,000 resistance zones, notably breaking above a key bearish trend line at $4,000 on the hourly ETH/USD chart. Currently, ETH is trading comfortably above $4,050 and its 100-hourly Simple Moving Average, signaling a potential bullish continuation. For the rally to solidify, Ether needs a decisive close above the $4,170 and $4,200 resistance levels. A successful breach of the $4,200 mark could propel the price towards $4,250, with further upside targets at $4,320 and potentially $4,350 in the near term.
Navigating Potential Headwinds
Despite the promising recovery, Ethereum faces significant resistance at the $4,150 to $4,170 range, which aligns with the 76.4% Fib retracement level of the previous downward wave from its $4,275 swing high. Should ETH fail to overcome the $4,200 resistance, a fresh decline could ensue. Immediate downside support is anticipated around $4,050, followed by the crucial $4,000 zone. A breakdown below $4,000 might trigger a move towards $3,920 and potentially $3,880, with $3,820 serving as the next major support. Technical indicators show a mixed picture: the Hourly MACD for ETH/USD is currently losing bullish momentum, while the Hourly RSI remains above the 50 level, suggesting buyers still hold some advantage.
