3 September 2024
Ethereum price is attempting a recovery wave from the $2,400 zone. ETH must clear $2,550 to continue higher in the near term.
Ethereum started a decent recovery wave above the $2,450 level.
The price is trading above $2,500 and the 100-hourly Simple Moving Average.
There was a break above a connecting bearish trend line with resistance at $2,485 on the hourly chart of ETH/USD (data feed via Kraken).
The pair must stay above $2,500 to start another increase in the near term.
Ethereum Price Starts Recovery
Ethereum price extended losses below the $2,500 level. ETH even tested the $2,400 support before the bulls appeared. The price started a recovery wave above the $2,450 level like Bitcoin.
There was a move above the $2,480 and $2,500 resistance levels. The price climbed above the 50% Fib retracement level of the downward wave from the $2,595 swing high to the $2,400 low. Besides, there was a break above a connecting bearish trend line with resistance at $2,485 on the hourly chart of ETH/USD.
Ethereum price is now trading above $2,500 and the 100-hourly Simple Moving Average. On the upside, the price seems to be facing hurdles near the $2,550 level. It is close to the 76.4% Fib retracement level of the downward wave from the $2,595 swing high to the $2,400 low.
The first major resistance is near the $2,600 level. A close above the $2,600 level might send Ether toward the $2,650 resistance. The next key resistance is near $2,720. An upside break above the $2,720 resistance might send the price higher toward the $2,800 resistance zone in the near term.
Another Decline In ETH?
If Ethereum fails to clear the $2,550 resistance, it could start another decline. Initial support on the downside is near $2,495. The first major support sits near the $2,450 zone.
A clear move below the $2,450 support might push the price toward $2,400 where the bulls could emerge. Any more losses might send the price toward the $2,320 support level in the near term. The next key support sits at $2,250.
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 – $2,450
Major Resistance Level – $2,550