Ethereum Price Picks Up Speed: Recovery in Full Swing

Ethereum price started a decent recovery wave above the $3,240 zone. ETH is rising and facing hurdles near the $3,480 zone.

• Ethereum started a minor recovery wave above the $3,240 zone.
• The price is trading above $3,320 and the 100-hourly Simple Moving Average.
• There was a break above a short-term contracting triangle with resistance at $3,240 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could continue to rise if it clears the $3,480 resistance level.

Ethereum Price Gains Over 5%

Ethereum price started a recovery wave above the $3,150 level like Bitcoin. ETH was able to clear the $3,180 and $3,240 resistance levels to move into a short-term positive zone.

Besides, there was a break above a short-term contracting triangle with resistance at $3,240 on the hourly chart of ETH/USD. The pair even surged above the $3,350 and $3,400 levels. Finally, it tested the $3,480 zone. A high was formed at $3,473 and the price is now consolidating gains.

There was a minor decline below the 23.6% Fib retracement level of the upward move from the $3,186 swing low to the $3,473 high. Ethereum price is now trading above $3,300 and the 100-hourly Simple Moving Average.

On the upside, the price seems to be facing hurdles near the $3,450 level. The first major resistance is near the $3,480 level. The main resistance is now forming near $3,500. A clear move above the $3,500 resistance might send the price toward the $3,550 resistance.

An upside break above the $3,550 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $3,650 resistance zone or even $3,720 in the near term.

Downside Correction In ETH?

If Ethereum fails to clear the $3,480 resistance, it could start another decline. Initial support on the downside is near the $3,350 level. The first major support sits near the $3,280 or the 50% Fib retracement level of the upward move from the $3,186 swing low to the $3,473 high.

A clear move below the $3,280 support might push the price toward the $3,240 support. Any more losses might send the price toward the $3,120 support level in the near term. The next key support sits at $3,050.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.

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

Major Support Level – $3,280

Major Resistance Level – $3,480

Source