Ethereum (ETH) Saw Bullish Breakout, Here’s Why It Could Surge Further

Ethereum’s ETH gained pace for a move above the $1,800 level. It is up nearly 14% in a day and might soon test the $2,000 resistance.

Ethereum (ETH) Price Starts Fresh Rally

In the past few days, ethereum saw a decent increase above the $1,550 pivot level. The ETH/USD pair even cleared the $1,700 level and the 50 simple moving average (4-hours, blue).

The bulls even pumped the price above the $1,800 level to push the price further into a positive zone. The price gained nearly 14% in a day there was a move above the $1,880 level. Finally, it traded as high as $1,918 and is currently consolidating gains.

Etheruem’s 4-hours price chart | Source: ETHUSD on TradingView.com

It is now trading well above the $1,850 level and the 50 simple moving average (4-hours, blue). An immediate support on the downside sits near the $1,855 level. It is near the 23.6% Fib retracement level of the recent upward move from the $1,654 swing low to $1,918 high.

The next major support is near $1,786 or the 50% Fib retracement level of the recent upward move from the $1,654 swing low to $1,918 high.

The main support is now forming near the $1,715 level or the 50 simple moving average (4-hours, blue). There is also a major bullish trend line in place with support at $1,715 on the 4-hours chart. A close below the $1,715 level might spark a sharp decline.

In the stated case, there is a risk of a move towards the $1,654 swing low. Any more losses might send ether price towards the $1,500 level.

An immediate resistance is near the $1,900 level. A clear move above the $1,900 resistance could send the price towards the $1,980 resistance.

The next major resistance is near the $2,000 level, where the bears might take a stand. Any more gains might open the doors for a move towards the $2,080 resistance, above which the bulls push the price towards the $2,150 level in the near term.

Overall, ether price is still gaining pace above the $1,800 level. If the bulls push the price above the $1,900 resistance zone, there could be a fresh rally. Conversely, there might be a downside correction towards the $1,715 support.