Ethereum Steadies Above $3K, Why Upsides Could be Capped

Ethereum seeks an upward correction of $3,000 to the US Dollar. The ETH price needs to surpass $3,130 in order for the 100-hourly SMA level to remain higher.

  • Ethereum has begun an upside correction since the $2950 zone.
  • The current price trades below $3,000.
  • On the hourly chart of Ethereum/USD, there was a breakout over a crucial bearish trend line. Resistance is near $3,000. (Data feed via Kraken).
  • Although the pair may recover, upsides could be limited to $3,130.

Ethereum Price Faces Hurdles

Ethereum established a base at the level of $2,950 and began a new increase. ETH moved into a positive short-term zone by breaking the $3,000 resistance level.

The resistance at $3,020 was breached. Ether cleared the 23.6% Fib level of the pivotal drop from the $3.310 swing high to the $2.951 low. A break was also observed above the key bearish trendline with resistance at $3,035 in the hourly chart for ETH/USD.

The price has traded above $3,050. An initial resistance near the $3.085 level is visible on the upside. Near the $3130 level, and the 100 hourly simplemoving average is where the next significant resistance.

Also, the Fib retracement of the key fall from $3,310 swing low to $2,951 high is at 50%. An increase in the level above $3,130 and the 100-hourly simple moving average could signal a good recovery wave.

Ethereum Price

Source: TradingView.com, ETHUSD

Next major resistance may be at the $3170 mark. If the price moves above the resistance of $3,170, it could be a sign that the market is moving above $3,200. If the above scenario is true, then the price might rise to the $3,250 level.

New Decline in the ETH

It could begin a new decline if it fails to create a wave of recovery above $3,130. Near the $3,020 area is initial support.

Next is $2,950. A downside breakout below the $2950 level could cause a further decline. There is the possibility of price moving towards the $2840 level in this scenario.

Technical indicators

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

Hourly RSIThe RSI is at 50 for USD/ETH.

Major Support Level – $2,950

Major Resistance Level – $3,130

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