Ethereum price started a fresh recovery above $4,000. ETH is now showing positive signs but faces a major resistance near the $4,250 level.
Ethereum started a recovery wave above the $4,000 and $4,100 levels.
The price is trading above $4,150 and the 100-hourly Simple Moving Average.
There was a break above a key bearish trend line with resistance at $4,100 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could continue to move up if it trades above $4,250.
Ethereum Price Starts Recovery
Ethereum price started a recovery wave after a massive selloff below $3,800, like Bitcoin. ETH price formed a base and was able to recover above the $4,000 level.
The price cleared the 50% Fib retracement level of the sharp decline from the $4,758 swing high to the $3,423 low. Besides, there was a break above a key bearish trend line with resistance at $4,100 on the hourly chart of ETH/USD.
Ethereum price is now trading above $4,150 and the 100-hourly Simple Moving Average. On the upside, the price could face resistance near the $4,200 level. The next key resistance is near the $4,250 level and the 61.8% Fib retracement level of the sharp decline from the $4,758 swing high to the $3,423 low.
The first major resistance is near the $4,320 level. A clear move above the $4,320 resistance might send the price toward the $4,400 resistance. An upside break above the $4,400 region might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $4,450 resistance zone or even $4,500 in the near term.
Another Decline In ETH?
If Ethereum fails to clear the $4,250 resistance, it could start a fresh decline. Initial support on the downside is near the $4,120 level. The first major support sits near the $4,100 zone.
A clear move below the $4,100 support might push the price toward the $4,020 support. Any more losses might send the price toward the $3,950 region in the near term. The next key support sits at $3,880.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 zone.
Major Support Level – $4,020
Major Resistance Level – $4,250
