Ethereum Price Pulls Back from Resistance: Will the Bulls Stage a Comeback?

As a researcher with extensive experience in cryptocurrency markets and Ethereum price analysis, I have observed the recent downside correction in Ethereum (ETH) from the $3,885 resistance zone. The price is currently trading below $3,800 and might continue to slide toward the $3,720 support level.

Ethereum‘s price took a turn for the worse after hitting the resistance mark of $3,885. At present, Ethereum hovers around $3,790, with a strong possibility of dipping further down to reach $3,720.

    Ethereum started a pullback after it failed to clear the $3,880 resistance.
    The price is trading below $3,840 and the 100-hourly Simple Moving Average.
    There was a break below a key bullish trend line with support near $3,830 on the hourly chart of ETH/USD (data feed via Kraken).
    The pair could start a fresh upward move unless there is a close below the $3,720 support.

Ethereum Price Dips Again

The price of Ethereum surpassed the $3,840 barrier for growth, yet failed to exceed the $3,885 mark. Consequently, Ethereum experienced a decline similar to Bitcoin.

The price of Ethereum against the US Dollar dropped below the crucial support at $3,840. Additionally, there was a breach of a significant bullish trend line, which offered support around $3,830 on the hourly chart. Furthermore, the ETH/USD pair fell beneath the 50% Fibonacci retracement level of the rally that started from $3,730 low and peaked at $3,885.

Currently, Ethereum’s price is under $3,840 and below its 100-hour moving average. Yet, bullish forces are present around the 61.8% Fibonacci retracement level, which is at approximately $3,825 – a key support level derived from the upward trend between the $3,730 swing low and $3,885 high.

As an analyst, I’ve observed that should ETH experience another price hike, it may encounter resistance around the $3,810 mark. The initial hurdle for any upward movement lies at the $3,840 level. Overcoming this resistance could potentially propel the price further upwards. Subsequently, a significant resistance exists at $3,920, surpassing which could provide the necessary momentum for ETH to advance towards the $4,000 mark.

Ethereum Price Pulls Back from Resistance: Will the Bulls Stage a Comeback?

Should ethereum’s bulls manage to drive its price above the $4,000 threshold, there’s a strong possibility of further growth, potentially reaching the $4,080 resistance point. Surpassing this hurdle could pave the way for Ether to approach the $4,200 resistance area.

More Losses In ETH?

As a crypto investor, if Ethereum doesn’t manage to surpass the $3,840 resistance level, it may proceed to slide further. My initial protective stop could be set around $3,765. The next substantial support lies around the $3,750 area.

As an analyst, I would interpret the current market situation as follows: The key support for the price lies at the $3,720 mark. A significant drop below this level could potentially lead the price down to the $3,650 region. Should further losses occur, we may see the price testing the resistance at $3,550 in the imminent future.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.

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

Major Support Level – $3,765

Major Resistance Level – $3,840

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2024-06-07 06:22