Ethereum has embarked on a new upward trajectory and surpassed the key resistance level at $2,335. Currently, ETH is eyeing further upside above the resistance at $2,420.
The cryptocurrency began its latest ascent from the $2,280 resistance zone before finally breaking through the $2,320 and $2,350 barriers. Despite Bitcoin’s notable 5% rally, Ethereum struggled to fully mirror its strength. Still, ETH has shown encouraging signs by clearing the 76.4% Fib retracement level of the previous downtrend and advancing above the swing high of $2,392.
Currently, Ethereum is trading above $2,350 and the 100-hourly simple moving average. Additionally, a key bullish trend line has formed and is offering support at $2,310 on the hourly ETH/USD chart. However, the price is facing resistance near $2,420, which roughly coincides with the 1.236 Fibonacci extension level from the swing high of $2,392 to the low of $2,277. The first significant resistance is near $2,450, followed by another major hurdle near $2,550.
If Ethereum can break out of the $2,550 resistance, it could pave the way for bigger gains and send the price towards the $2,650 resistance zone. Further resistance awaits near the $2,720 or $2,750 levels.
Conversely, failure to break above the $2,420 resistance could see Ethereum price drop again. The first support is near the $2,365 level, while the major support is near the $2,310 zone and the associated trend line. A decisive move below $2,310 could see the price drop to $2,280, and further losses could lead to a drop to the $2,220 support level. The next key support is at $2,150.
Technical indicators are pointing to a bullish trend with the hourly MACD picking up momentum and the RSI above the 50 zone. The major support level is expected to be at $2,310 and the major resistance level at $2,420.
