Ethereum’s native token, Ether (ETH), dipped and found support at $2,120. The price is now showing bullish signs and might aim for a move toward the $3,000 resistance.
Ethereum Price Eyes Upside Break
In the previous technical analysis, we saw a bearish reaction in Ethereum from the $2,880 resistance. ETH started a downside correction below the $2,720 and $2,650 support levels. The price dipped below the $2,550 support and the 50-day simple moving average (blue).
There was a move below the 23.6% Fib retracement level of the upward wave from the $1,385 swing low to the $2,875 high. Finally, the bulls appeared near the $2,120 support zone.
Ethereum found support near the 50% Fib retracement level of the upward wave from the $1,385 swing low to the $2,875 high. There was a strong bullish reaction like Bitcoin, and the price rallied above the $2,350 resistance.
The price is now trading above the $2,500 level and the 50-day simple moving average (blue). Besides, a key bullish trend line is forming with support at $2,400 on the daily chart.
The current price action is bullish and suggests a high chance of more gains in the coming days. Immediate resistance is near the $2,620 level. The first significant resistance sits near the $2,710 zone. If there is a clear move above the $2,710 resistance, the price could drift toward the next important resistance at $2,880.
A close above the $2,880 level could set the pace for a move toward the $3,000 level. The next key resistance could be near the $3,050 level. Any more losses could send Ether price toward the $3,120 level in the coming days.
Another Decline In ETH?
Ethereum could start another decline if it fails to clear the $2,710 resistance. Immediate support on the downside is near the $2,440 level. The first significant support sits near the $2,400 and trend lines.
A daily close below the $2,400 level might spark a larger decline in Ethereum. The price could drop and retest the $2,120 support in the stated case. If there is a clear move below the $2,120 support, the ETH price might even decline and test the $2,000 handle.
Overall, the Ethereum price is showing positive signs above the $2,400 level. If the bulls remain active, they could soon aim to move above the $2,620 and $2,710 resistance levels. If not, there could be a fresh decline toward $2,120.
