Ethereum's current trading pattern indicates a crucial juncture near the $2,1000 ETH to USD500 support level, with potential bullish signals emerging above $2,700.
Recent downward pressure pushed ETH below the $2,650 threshold
The asset currently trades beneath both $2,680 and the 100-hour SMA
A descending trendline with resistance at $2,690 appears on ETH/USD charts
Breaking above $2,735 could signal renewed upward momentum
Potential Breakout Scenarios for Ethereum
Following Bitcoin's trajectory, Ethereum experienced downward pressure below the $2,800 support level. The subsequent drop below $2,750 and $2,700 established a short-term bearish pattern.
The price found stability near the 50% Fibonacci retracement level, measured from the $2,125 low to $2,922 peak. Current consolidation above $2,500 suggests potential base formation at this critical level.
Technical indicators show ETH trading below both the $2,680 mark and 100-hour moving average. The descending trendline at $2,690 continues to act as immediate resistance on hourly charts.
Upward movement faces initial resistance near $2,680, with stronger barriers at $2,735 and $2,800. A decisive break above $2,820 could propel ETH toward the $2,920 resistance level.
Should Ethereum successfully surpass $2,920, further gains toward $3,000-$3,050 become plausible in the near term.
Downside Risks for Ethereum
Failure to overcome the $2,700 resistance might trigger renewed downward pressure. Initial support emerges at $2,550, with stronger foundations at $2,520.
A breach below $2,520 could test the 61.8% Fib level at $2,440, drawn from the $2,125-$2,922 movement. Additional declines might target $2,365, with $2,250 representing the next significant support zone.
Technical Indicators
Hourly MACD shows weakening bearish momentum
Hourly RSI remains below the neutral 50 level
Key Support: $2,525
Key Resistance: $2,700