Ethereum Price Topside Bias Vulnerable If It Continues To Struggle Below $2,400

6 February 2024

Ethereum price is consolidating above the $2,250 zone. ETH could start a decent increase if it clears the $2,340 and $2,380 resistance levels.

Ethereum is struggling to gain pace for a move above the $2,350 zone.
The price is trading above $2,300 and the 100-hourly Simple Moving Average.
There is a short-term rising channel forming with resistance near $2,350 on the hourly chart of ETH/USD (data feed via Kraken).
The pair might start a fresh increase if it manages to clear the $2,350 resistance zone.

Ethereum Price Eyes Fresh Increase

Ethereum price remained in a range below the $2,350 resistance zone. ETH traded lower below $2,320, but the bulls were active near the $2,280 support zone.

A low was formed near $2,282 and the price is now attempting a fresh increase in a range, like Bitcoin. There was a move above the $2,300 resistance zone and the 100-hourly Simple Moving Average. The price even cleared the 61.8% Fib retracement level of the recent decline from the $2,334 swing high to the $2,282 low.

Ethereum is now trading above $2,300 and the 100-hourly Simple Moving Average. There is also a short-term rising channel forming with resistance near $2,350 on the hourly chart of ETH/USD.

On the upside, the first major resistance is near the $2,325 level or the 76.4% Fib retracement level of the recent decline from the $2,334 swing high to the $2,282 low. The next major resistance is near $2,350, above which the price might rise and test the $2,380 resistance.

Source: ETHUSD on TradingView.com

If the bulls push the price above the $2,380 resistance, they could aim for $2,450. A clear move above the $2,450 level might send the price further higher. In the stated case, the price could rise toward the $2,500 level.

Another Decline in ETH?

If Ethereum fails to clear the $2,350 resistance, it could start another decline. Initial support on the downside is near the $2,280 level and the channel trend line.

The next key support could be the $2,240 zone. A clear move below the $2,240 support might send the price toward $2,180. The main support could be $2,120. Any more losses might send the price toward the $2,040 level.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is losing momentum in the bearish zone.

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

Major Support Level – $2,240

Major Resistance Level – $2,350

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