11 April 2024
Ethereum price stayed above the $3,400 support zone. ETH is recovering losses, but it must clear $3,600 to continue higher in the near term.
Ethereum extended its decline and tested the $3,400 support zone.
The price is trading above $3,500 and the 100-hourly Simple Moving Average.
There was a break above a connecting bearish trend line with resistance at $3,500 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could gain bullish momentum if it stays above the $3,500 support zone.
Ethereum Price Aims Higher
Ethereum price extended its decline below the $3,500 level. ETH even spiked below the $3,450 support before the bulls appeared. The price traded as low as $3,408 and recently started a recovery wave, like Bitcoin.
There was a move above the $3,500 resistance zone. The price climbed and tested the 50% Fib retracement level of the downward move from the $3,726 swing high to the $3,408 low. Besides, there was a break above a connecting bearish trend line with resistance at $3,500 on the hourly chart of ETH/USD.
Ethereum is now trading near $3,500 and the 100-hourly Simple Moving Average. Immediate resistance is near the $3,600 level or the 61.8% Fib retracement level of the downward move from the $3,726 swing high to the $3,408 low.
Source: ETHUSD on TradingView.com
The first major resistance is near the $3,650 level. The next key resistance sits at $3,725, above which the price might test the $3,780 level. The key hurdle could be $3,800, above which Ether could gain bullish momentum. In the stated case, the price could rise toward the $3,880 zone. If there is a move above the $3,880 resistance, Ethereum could even rise toward the $4,000 resistance.
Another Decline In ETH?
If Ethereum fails to clear the $3,600 resistance, it could start another decline. Initial support on the downside is near the $3,520 level.
The first major support is near the $3,500 zone. The next key support could be the $3,400 zone. A clear move below the $3,400 support might send the price toward $3,320. Any more losses might send the price toward the $3,240 level.
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 level.
Major Support Level – $3,520
Major Resistance Level – $3,600