Ethereum Price Gears Up: Will Bulls Trigger a New Rally?

Ethereum price started a decent increase above the $3,350 resistance. ETH is now recovering some losses and might gain pace if it clears the $3,550 resistance.

• Ethereum started a fresh increase above the $3,400 zone.
• The price is trading above $3,450 and the 100-hourly Simple Moving Average.
• There is a connecting bullish trend line forming with support at $3,455 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could start a decent increase if it clears the $3,525 and $3,550 resistance levels.

Ethereum Price Aims Higher

Ethereum price started a decent increase above the $3,320 level like Bitcoin. ETH was able to climb above the $3,400 and $3,420 resistance levels.

The price even cleared the $3,500 resistance level. However, the bears remained active below the $3,550 level. A high was formed at $3,535 and the price is now consolidating gains. It declined and traded below the 23.6% Fib retracement level of the upward move from the $3,225 swing low to the $3,534 high.

Ethereum price is now trading above $3,450 and the 100-hourly Simple Moving Average. There is also a connecting bullish trend line forming with support at $3,455 on the hourly chart of ETH/USD.

On the upside, the price seems to be facing hurdles near the $3,500 level. The first major resistance is near the $3,525 level.

The main resistance is now forming near $3,550. A clear move above the $3,550 resistance might send the price toward the $3,620 resistance. An upside break above the $3,620 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $3,680 resistance zone or even $3,750.

Another Decline In ETH?

If Ethereum fails to clear the $3,550 resistance, it could continue to move down. Initial support on the downside is near the $3,455 level and the trend line. The first major support sits near the $3,375 zone or the 50% Fib retracement level of the upward move from the $3,225 swing low to the $3,534 high.

A clear move below the $3,375 support might push the price toward the $3,250 support. Any more losses might send the price toward the $3,220 support level in the near term. The next key support sits at $3,110.

Technical Indicators

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

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

Major Support Level – $3,425

Major Resistance Level – $3,550