Why Ethereum Bulls Aim Fresh Rally Above $4K

Ethereum’s gains are above $3,800 against the US Dollar. The ETH price has been struggling to reach $3,880. However, it may accelerate higher if the bulls do not protect $3,680.

  • Ethereum began a new decline after the resistance zone of $3,880.
  • The price traded above $3,800.
  • A key bullish trendline is emerging with support at $3,800 (data feed via Kraken).
  • For a new increase to occur in the short term, both must cross the $3880 threshold

Ethereum price remains supported

Ethereum attempted to increase its strength beyond the $3,850 mark. ETH gained strength above $3,880 but it did not continue to rise. Before there was any downside correction, a high of $3,891 was reached.

Below the levels of $3,850, $3,820, and $4,820, prices declined. There was also a dip below the 50% Fib level for the upward swing from the $3.681 swing low and high to the $3.891 high. The bulls were still active in the vicinity of the $3,750 area and the 100-hourly simple moving average.

Support was found near the 61.8% Fib level of the upward movement from $3,681 swing high to $3,891 low. A key bullish trendline is also visible with support close to $3,800 in the hourly chart of Ethereum/USD.

Ethereum Price

Source: TradingView.com, ETHUSD

Ether is trading at $3,800 above its 100-hourly simple moving mean. The $3,850 mark is the immediate resistance. Near the $3880 level is the next significant resistance. Price could reach $4,000. A strong upside breakout of the $3,880 mark would be a major catalyst. Price gains of more than $3,880 could push the price to $4,000. Next is $4,250.

Downside of ETH

It could move lower if ethereum does not start an increase above $3,850. The initial support for the downside is at the $3,800 mark.

Now, the key support level is near $3740. The price could move towards the critical $3,680 level if it breaks below that point. Near the $3,600 support level is the next significant support.

Technical indicators

Hourly MACDIn the bearish zone, the MACD of ETH/USD has been losing momentum.

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

Major Support Level – $3,740

Major Resistance Level – $3,850

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