Ethereum Price Hints at Downside Correction: Will Support Hold?

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As a seasoned researcher with years of experience tracking cryptocurrency markets, I find myself at a crossroads regarding Ethereum’s current price action. The bullish momentum seems to have slowed down near the $3,250 resistance, hinting at potential consolidation or even a minor correction. However, the technical indicators suggest that Ethereum might be poised for another rally if it can hold above the immediate support at $3,120.

As a crypto investor, I’ve noticed that after a downtrend from around $3,450, Ethereum (ETH) seems to be stabilizing, finding resistance at approximately $3,250. It appears to be consolidating now.

  • Ethereum started a short-term downside correction from the $3,450 zone.
  • The price is trading above $3,120 and the 100-hourly Simple Moving Average.
  • There is a connecting bearish trend line forming with resistance at $3,240 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could continue to rise if it remains stable above the $3,120 zone.

Ethereum Price Hits Support

Initially, the value of Ethereum surged past the $3,1200 barrier, similar to Bitcoin, much like how a ball might roll beyond a certain line in a game. This surge allowed Ethereum to ascend over the hurdles at $3,220 and $3,320, propelling it into an optimistic territory.

As a researcher, I’ve noticed an interesting pattern in my observations. The asset I’m tracking reached new heights, soaring above $3,400 to set a fresh monthly high at around $3,445. However, there was a brief dip following this peak, marking a minor retreat. This dip took the price below the support levels of $3,320 and $3,250, with the lowest point being $3,124. Currently, the price seems to be stabilizing, indicating a period of consolidation.

As an analyst, I’m observing that the Ethereum price currently surpasses $3,120 and lies above its 100-hour Simple Moving Average. On the positive side, there appear to be barriers at around the $3,230 mark or the 50% Fibonacci retracement point of the recent descent from the $3,340 peak to the $3,124 trough.

On the hourly chart for ETH/USD, a bearish trend line is taking shape with a potential resistance at around $3,240. Initially, a significant resistance can be found around $3,260, while the strongest resistance now lies near $3,320. If there’s a clear break above this $3,320 barrier, it could push the price up towards the potential resistance at $3,450.

If Ether manages to surge past the $3,450 barrier in the future, it may indicate further growth in the upcoming trading periods. In such a scenario, Ether’s price might move towards the potential resistance level of around $3,550.

More Losses In ETH?

If Ethereum doesn’t manage to surpass the $3,250 barrier, there might be a potential drop in its price. The initial floor could be around $3,150. A significant support level can be found close to the $3,120 area.

Moving below the $3,120 resistance could potentially drive the price down to around $3,050. Further declines may push it towards the immediate support of $3,000. The significant support level lies at $2,880 in the short 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 below the 50 zone.

Major Support Level – $3,120

Major Resistance Level – $3,250

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2024-11-14 06:41