Ethereum Prints Bullish Technical Pattern, Why Close Above $3,200 Is Critical

Ethereum dropped to $2,930 and then corrected higher against the US dollar. The price of Ethereum is on the rise and a close below $3,200 may spark a strong recovery.

  • Ethereum continues to fall and has broken the $3,000 support level.
  • The daily simple moving average is at 100 hours and the price trades below $3,000.
  • On the hourly chart of Ethereum/USD, there was an upward movement above a significant bearish trend line. Resistance is near $3110. (Data feed via Kraken).
  • If the close is above $3,200, this pair could launch a significant recovery wave.

Ethereum Price Seeks Steady Recovery

Ethereum declined to rise above $3,200. ETH dropped below the $3.050 and $3,000 support levels, further indicating that it is in a bearish zone.

This price spiked to $2920, and it traded as low at $2931. Recently, the price corrected sharply above $3,050 and $3,000 levels. A break was also seen above the major bearish trendline with resistance at $3,110, on an hourly chart for ETH/USD.

The Ether price closed above the 61.8% Fib Retracement level for the downmove from $3,210 swing high, to $2,931 lowest. Now, it is consolidating above $3,100.

Surprisingly, a resistance level is located near $3,145. This is close to the 76.4% Fib Retracement level for the downmove from the $3.210 swing high and the $2.931 low. It is now near the $3.200 mark and the 100-hourly simple moving average.

Ethereum Price

Source: ETHUSD

Potentially, a clear uptrend above $3,200 could trigger a substantial recovery wave. Near the $3,300 mark is the next major resistance. In the short term, any further gains may push the price to the $3420 mark.

New Decline in the ETH

Ethereum could experience another drop if it fails to increase beyond the $3,200 mark. The $3,060 level is a support area for the downside.

At the $3,000 support level, there is currently the first important support. The bulls could feel a lot more pressure if they break the $3,000 threshold. There is the possibility of the bulls falling below $2,931 for a monthly low.

Technical indicators

Minutely MACDSlowly, the MACD for USD/ETH is losing momentum in bullish territory.

Hourly RSIThe RSI of ETH/USD is at or above 50.

Major Support Level – $3,060

Major Resistance Level – $3,200

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