Ethereum Price Eyes Bullish Momentum: Is a Breakout Imminent?

Ethereum price is attempting a fresh increase wave above $2,300. ETH might gain bullish momentum if it clears the $2,400 resistance zone.

• Ethereum is attempting a recovery wave above the $2,300 zone.
• The price is trading above $2,330 and the 100-hourly Simple Moving Average.
• There is a connecting bullish trend line forming with support at $2,335 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair must clear the $2,400 resistance to continue higher in the near term.

Ethereum Price Eyes More Upsides

Ethereum price started a recovery wave above the $2,300 level. ETH was able to clear the $2,320 resistance zone to move into a positive zone like Bitcoin. However, the bears were active near the $2,400 resistance.

A high was formed at $2,398 and the price is now consolidating gains. There was a minor decline below the $2,360 level. The price dipped below the 23.6% Fib retracement level of the upward move from the $2,242 swing low to the $2,398 high.

Ethereum price is now trading above $2,300 and the 100-hourly Simple Moving Average. There is also a connecting bullish trend line forming with support at $2,335 on the hourly chart of ETH/USD.

On the upside, the price seems to be facing hurdles near the $2,380 level. The first major resistance is near the $2,400 level. A close above the $2,400 level might send Ether toward the $2,465 resistance. The next key resistance is near $2,500. An upside break above the $2,500 resistance might call for more gains toward the $2,550 resistance zone in the near term.

Another Decline In ETH?

If Ethereum fails to clear the $2,400 resistance, it could start another decline. Initial support on the downside is near $2,335 and the trend line. The first major support sits near the $2,300 zone or the 61.8% Fib retracement level of the upward move from the $2,242 swing low to the $2,398 high.

A clear move below the $2,300 support might push the price toward $2,240. Any more losses might send the price toward the $2,150 support level in the near term. The next key support sits at $2,050.

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 – $2,240

Major Resistance Level – $2,400