Ethereum price climbed higher above USD 3,500 but struggled near USD 3,580. ETH needs to overcome the USD 3,650 resistance to move further into a positive zone.
- Ethereum is consolidating gains below the USD 3,650 resistance zone.
- The price is trading above $3,500 and the 100-hourly Simple Moving Average.
- A short-term ascending channel is forming with resistance near $3,585 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could gain bullish momentum if it overcomes the USD 3,600 and USD 3,650 resistance levels.
Ethereum price consolidates
Ethereum price started a decent rise against the USD 3,350 support zone. ETH formed a base and climbed above the USD 3,450 and USD 3,500 resistance levels. It even outperformed Bitcoin and broke the USD 3,550 resistance.
The bears are now active below the USD 3,600 level. A high was reached at $3,586 and the price is now consolidating gains. There was a small decline below the USD 3,550 level. The price fell below the 23.6% Fib retracement level of the upward move from the $3,350 swing low to the $3,586 high.
Ethereum is still trading above $3,500 and the 100-hourly Simple Moving Average. A short-term rising channel is also forming with resistance around $3,585 on the hourly chart of ETH/USD.
On the upside, the price could encounter resistance near the $3,580 level or the channel zone. The first major resistance is around the $3,620 level. The main resistance is at $3,650. An upside break above the USD 3,650 resistance could push the price higher.
The next major resistance is at USD 3,720, above which the price could gain strength and rise towards the USD 3,750 level. A clear move above the $3,750 level could send Ether towards the $3,880 resistance. Any further gains could send Ether towards the $4,000 resistance zone in the coming days.
Another drop in ETH?
If Ethereum fails to clear the USD 3,600 resistance, it could trigger another decline. The initial downside support is near $3,520 and the channel trendline. The first major support is $3,500.
A clear move below the $3,500 support could push the price towards $3,465 or the 50% Fib retracement level of the upward move from the $3,350 swing low to the $3,586 high. Any further losses could send the price towards the USD 3,400 level in the near term.
Technical indicators
hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
RSI per hour – The RSI for ETH/USD is now above the 50 zone.
Major support level – $3,500
Major resistance level – $3,600
