Ethereum Price Upside Potential Weakens: Will Bulls Maintain Support?

Ethereum's price initially surged above the $3,320 resistance but has since begun to consolidate, potentially dipping down toward the $3,280 level.

Key Takeaways

Ethereum has seen a correction after a significant rise to $3,400.
Currently, ETH is trading over $3,300 and remains above the 100-hour Simple Moving Average.
A bullish trend line is forming, providing support at $3,280 on the ETH/USD hourly chart.
If Ethereum stays above $3,280, it may continue to ascend.

Ethereum Price Upside Potential Weakens

Ethereum Price Rallies Toward $3,400

Ethereum's price has remained resilient, rising above $3,220 and initiating a fresh upward trend, paralleling Bitcoin's movement. ETH climbed past the $3,250 and $3,320 resistance thresholds, with bulls pushing the price over the $3,350 mark. The peak price reached $3,402, but it has since begun a slight correction. The price fell marginally below $3,350, retracing 23.6% of the recent wave from a low of $3,061 to a high of $3,402.

Currently, Ethereum is trading above $3,300 and the 100-hourly Simple Moving Average. Additionally, a bullish trend line is emerging, with support located at $3,280 on the ETH/USD hourly chart.

Ethereum Price Movement
Source: ETHUSD on TradingView.com

If bulls manage to keep the price from falling further below $3,280, there is potential for another upward movement. Immediate resistance is identified at the $3,350 level, with the first significant resistance around $3,380. The next major resistance level to watch is at $3,400. A decisive move over this resistance could propel the price to the $3,500 level. If that level is surpassed, we might see Ether rally towards the $3,550 resistance zone, and perhaps reach $3,650 shortly thereafter.

Could Ethereum Experience Another Drop?

If Ethereum struggles to surpass the $3,400 resistance, a decline may occur. Initial support on the downside exists near the $3,300 level, with significant support at approximately $3,280 where the trend line is located.

If the price moves below the $3,280 support, it could slide toward the $3,230 level, coinciding with the 50% Fib retracement of the recent rise from $3,061 to $3,402. Further losses could drive the price down to the $3,200 region.

Technical Indicators

Hourly MACD: The MACD for ETH/USD shows a loss of upward momentum within the bullish zone.
Hourly RSI: The RSI for ETH/USD is currently above the 50 baseline.

Major Support Level: $3,280
Major Resistance Level: $3,400