Amid the technical crash, the price of Ethereum exceeded $2,500
TLDR
Ethereum found support at $2,350 and started a new uptrend. The price moved above $2,500 and the 100-hour simple moving average identified key resistance levels at $2,580, $2,620 and $2,650. Major support levels were established at $2,450 and $2,500. Technical Indicators show breakout and momentum with MACD. RSI positive
Ethereum, the second largest by market capitalization, continued its upward trend after finding strong support at the $2,350 level.
The digital asset has shown renewed strength in recent trading sessions, pushing above several key technical resistance levels and showing potential for further gains.
The price action started with a critical bounce from the $2,350 support zone, indicating low levels of buyer interest.
This initial support helped set the stage for the next price rally, which saw ETH break through several resistance points.
In a popular technical development, Ethereum has successfully cleared the $2,420 and $2,450 resistance levels, indicating that it has entered the positive territory.
The finding suggests real buyer participation in the market, along with an increase in transaction volume.
The cryptocurrency has now positioned itself above the psychologically important $2,500 mark, which serves as a symbolic and technical milestone.
While this level has historically served as a focal point for price action, its current position makes it particularly interesting for traders and investors.
Technical analysis shows that ETH has moved above the 76.4% Fibonacci retracement level, which has recently moved from the high of $2,583 to the low of $2,357.
This indicator shows a strong recovery from the recent downward movement.
Adding to the bullish technical picture, traders looked for a break above the bearish trend line that previously held resistance at $2,460. This break occurred on the hourly chart, indicating a change in the short-term market structure.
The current price action puts Ethereum above its 100-hourly simple moving average, which is a widely viewed technical indicator. This position usually represents positive short-term momentum and often attracts more buying interest from technical traders.
Market participants are now looking at several key resistance levels that could affect future price movements. An immediate test will be seen at $2,580, followed by higher resistance at $2,620. A clear break above these levels could pave the way to $2,650.
If buyers succeed in pushing the price above $2,650, the next target will probably be the $2,720 level. This area represents a known resistance zone that will require significant buying pressure to overcome.
However, the market offers clear risk levels for traders to control. If Ethereum fails to maintain momentum above current levels, initial support may be found around $2,520, with a more significant support zone around $2,500.
The hourly MACD (Moving Average Convergence Divergence) indicator shows increasing momentum in the bullish zone, while the RSI (Relative Strength Index) is above the 50 mark, supporting the current uptrend.
Trading volume patterns indicate constant participation from market participants, although volatility remains a constant factor in cryptocurrency markets. The increased volume during the recent price rally adds credence to the upward move.
The price action has produced a series of high-low cuts in the short term, which is typically associated with increasing momentum to the upside. This structure shows that buyers are becoming more aggressive at higher levels of progress.
If selling pressure emerges and pushes the price below the support levels, the $2,450 zone will become critical. A break below this area could lead to a test of lower support at $2,320.
According to the latest market data, Ethereum continues to trade above the $2,500 level, immediately establishing resistance at $2,580 and support at $2,450.
