Ethereum Bulls Set Sights on $3K: Is a Rally Coming?

16 October 2024

Ethereum price started a fresh increase above the $2,550 resistance. ETH is gaining pace and might soon clear the $2,650 resistance.

Ethereum started a fresh increase above the $2,520 and $2,550 resistance levels.
The price is trading above $2,580 and the 100-hourly Simple Moving Average.
There is a key bullish trend line forming with support near $2,535 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could continue to rally if it clears the $2,650 and $2,680 resistance levels.

Ethereum Price Eyes More Upsides

Ethereum price extended its increase above the $2,550 resistance like Bitcoin. ETH cleared the $2,600 and $2,620 resistance levels. The price even spiked above $2,650 before there was a downside correction.

There was a move below the $2,640 level. The price tested the $2,540 zone. A low was formed at $2,538 and the price is again rising. There was a move above the $2,580 resistance. The price climbed above the 50% Fib retracement level of the downward move from the $2,684 swing high to the $2,538 low.

Ethereum price is now trading above $2,600 and the 100-hourly Simple Moving Average. There is also a key bullish trend line forming with support near $2,535 on the hourly chart of ETH/USD.

On the upside, the price seems to be facing hurdles near the $2,630 level. The first major resistance is near the $2,650 level or the 76.4% Fib retracement level of the downward move from the $2,684 swing high to the $2,538 low. A clear move above the $2,650 resistance might send the price toward the $2,680 resistance.

An upside break above the $2,680 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $2,880 resistance zone in the near term. The next hurdle sits near the $2,950 level or $3,000.

Another Decline In ETH?

If Ethereum fails to clear the $2,650 resistance, it could start another decline. Initial support on the downside is near the $2,600 level. The first major support sits near the $2,535 zone and the trend line.

A clear move below the $2,500 support might push the price toward $2,450. Any more losses might send the price toward the $2,400 support level in the near term. The next key support sits at $2,350.

Technical Indicators

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

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

Major Support Level – $2,535

Major Resistance Level – $2,650

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