Bulls Ready for The Next Move?

Ethereum price started a fresh increase above the $3,400 zone. ETH is consolidating and might aim for a move above the $3,500 resistance.

• Ethereum started a fresh increase above the $3,320 and $3,400 levels.
• The price is trading above $3,400 and the 100-hourly Simple Moving Average.
• There is a key bullish trend line forming with support at $3,400 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could gain bullish momentum if it clears the $3,485 resistance zone.

Ethereum Price Holds Gains Above Support

Ethereum price remained supported above $3,220 and started a fresh increase while Bitcoin corrected gains. ETH gained pace for a move above the $3,420 and $3,450 resistance levels.

The bulls even pushed the price above the $3,500 resistance. A high was formed at $3,545 and recently the price corrected some gains. There was a move below the $3,500 level. The price dipped below the 50% Fib retracement level of the upward move from the $3,289 swing low to the $3,545 high.

However, the bulls are active near the $3,400 level. There is also a key bullish trend line forming with support at $3,400 on the hourly chart of ETH/USD. The trend line is close to the 61.8% Fib retracement level of the upward move from the $3,289 swing low to the $3,545 high.

Ethereum price is now trading above $3,420 and the 100-hourly Simple Moving Average. On the upside, the price seems to be facing hurdles near the $3,485 level.

The first major resistance is near the $3,500 level. The main resistance is now forming near $3,550. A clear move above the $3,550 resistance might send the price toward the $3,650 resistance. An upside break above the $3,650 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $3,720 resistance zone or even $3,880.

Downsides Supported In ETH?

If Ethereum fails to clear the $3,500 resistance, it could start another decline. Initial support on the downside is near the $3,420 level. The first major support sits near the $3,400 zone and the trend line.

A clear move below the $3,400 support might push the price toward $3,350. Any more losses might send the price toward the $3,285 support level in the near term. The next key support sits at $3,220.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now above the 50 zone.

Major Support Level – $3,400

Major Resistance Level – $3,550