Ethereum Price Looks Strong – Uptrend May Resume Above Key Zone

Ethereum price found support near the $3,540 zone and recovered. ETH is rising and might soon aim for a move above the $3,740 zone.

• Ethereum started a fresh increase above the $3,540 and $3,580 levels.
• The price is trading above $3,620 and the 100-hourly Simple Moving Average.
• There was a break above a bearish trend line with resistance at $3,625 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could start a fresh increase if it remains supported above the $3,540 zone in the near term.

Ethereum price started a fresh increase from the $3,540 support zone, beating Bitcoin. ETH price was able to recover above the $3,550 and $3,580 resistance levels.

The bulls even pushed the price above the $3,700 resistance zone. However, the bears remained active near the $3,750 zone. A high was formed at $3,733 and the price corrected some gains. There was a move below the $3,620 level.

The price tested the 50% Fib retracement level of the upward move from the $3,350 swing low to the $3,733 high. ETH is again rising above $3,600. There was a break above a bearish trend line with resistance at $3,625 on the hourly chart of ETH/USD.

Ethereum price is now trading above $3,600 and the 100-hourly Simple Moving Average. On the upside, the price could face resistance near the $3,700 level. The next key resistance is near the $3,720 level.

The first major resistance is near the $3,750 level. A clear move above the $3,750 resistance might send the price toward the $3,820 resistance. An upside break above the $3,820 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $4,000 resistance zone or even $4,120 in the near term.

If Ethereum fails to clear the $3,720 resistance, it could start a fresh decline. Initial support on the downside is near the $3,620 level. The first major support sits near the $3,580 zone.

A clear move below the $3,580 support might push the price toward the $3,540 support. Any more losses might send the price toward the $3,440 support level in the near term. The next key support sits at $3,350.

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 – $3,540

Major Resistance Level – $3,750