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Ethereum price rallied over 20% amid rise in hopes of ETH ETF. ETH broke many hurdles and even broke the $3,500 resistance zone.
- Ethereum started a fresh surge and cleared the $3,500 resistance zone.
- The price is trading above $3,600 and the 100-hourly Simple Moving Average.
- There is a short-term rising channel forming with support at $3,640 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to move up unless there is a close below the $3,400 support.
Ethereum Price Starts Fresh Uptrend
Ethereum price formed a base and rallied above the $3,200 resistance zone. ETH ETF hopes increased with the recent SEC move. Trades took advantage of the recent move, resulting in a strong upward move above the $3,350 resistance zone.
It outperformed Bitcoin and gained over 20%. There was a strong move above the $3,500 resistance zone. It traded to a new weekly high at $3,721 and is now consolidating gains above the 23.6% Fib retracement level of the upward move from the $3,067 swing low to the $3,721 high.
Ethereum is now trading above $3,600 and the 100-hourly Simple Moving Average. There is also a short-term rising channel forming with support at $3,640 on the hourly chart of ETH/USD.
Immediate resistance is near the $3,700 level. The first major resistance is near the $3,720 level. An upside break above the $3,720 resistance might send the price higher.
The next key resistance sits at $3,800, above which the price might gain traction and rise toward the $3,880 level. If there is a clear move above the $3,880 level, the price might rise and test the $3,950 resistance. Any more gains could send Ether toward the $4,000 resistance zone.
Are Dips Attractive In ETH?
If Ethereum fails to clear the $3,720 resistance, it could start a downside correction. Initial support on the downside is near the $3,640 level and the channel zone.
The next major support is near the $3,600 zone. A clear move below the $3,600 support might push the price toward $3,500. Any more losses might send the price toward the $3,400 level in the near term.
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 correcting from the 85 zone.
Major Support Level – $3,600
Major Resistance Level – $3,720