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- Ethereum price could slide lower to discover crucial levels of support as the token continues to consolidate.
- An increase in bullish sentiment may send $ETH higher, targeting $3,272 next.
- Ethereum may face the toughest hurdle at $2,851.
Ethereum price may continue to drop lower to discover crucial levels of support before moving higher. $ETH will face multiple tough hurdles before the token attempts to tag the upper boundary of the governing technical pattern at $3,272.
Ethereum price tests critical levels of support
Ethereum price has formed an ascending triangle pattern on the 12-hour chart, suggesting a long-term bullish outlook. However, momentum has shifted to the downside, and $ETH may slide lower to test multiple levels of support.
The first line of defense is at the 50% retracement level at $2,719, then at the 61.8% Fibonacci retracement level at $2,587.
An additional foothold will emerge at the lower boundary of the prevailing chart pattern at $2,398, intersecting with the 78.6% Fibonacci retracement level.
Further selling pressure may incentivize the sellers to slice below the downside trend line of the governing technical pattern, the long-term optimistic outlook may be invalidated.
However, if buying pressure increases, Ethereum price may face immediate resistance at the 21 twelve-hour Simple Moving Average (SMA) at $2,747.
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$ETH/USDT 12-hour chart
Ethereum price will face its toughest challenge at $2,851 next, where the 50 twelve-hour SMA, 100 twelve-hour SMA and the 38.2% Fibonacci retracement level intersect.
If a spike in buy order occurs, Ethereum price may climb higher toward the 23.6% Fibonacci retracement level at $3,015. An increase in bullish sentiment may push $ETH higher toward the resistance line given by the Momentum Reversal Indicator (MRI) at $3,156 before the token tags the upper boundary of the prevailing chart pattern at $3,272.
Slicing above the topside trend line of the governing technical pattern will put another 33% climb for Ethereum price on the radar toward $4,372.