In a notable development, the price of Ethereum (ETH) has experienced a substantial surge, surpassing the $2,250 resistance level. Experts are now anticipating a bullish trend for ETH, projecting a potential ascent towards the $2,500 mark.
Ethereum’s Positive Momentum Persists
Maintaining its positive trajectory akin to Bitcoin, Ethereum has sustained its upward movement above the $2,120 threshold. The cryptocurrency extended its rally, breaching key resistance levels at $2,200 and $2,250, prompting a surge in activity from bullish investors and propelling the price beyond $2,300.
Although a new multi-month high was established at approximately $2,316, the current market scenario sees a correction in gains. The price has dipped below the $2,300 level and is currently undergoing a test of the 23.6% Fibonacci retracement level, measured from the $2,188 swing low to the $2,316 high.
Notably, Ethereum is presently trading above $2,250 and the 100-hourly Simple Moving Average. Additionally, an observable bullish trend line is taking shape, offering support around the $2,250 mark on the hourly chart of ETH/USD.
Facing resistance in the vicinity of the $2,320 zone, Ethereum’s immediate hurdle is the $2,350 level. A decisive breakthrough above this resistance could propel the price towards the $2,420 level, with subsequent resistances standing at $2,450. Further gains have the potential to trigger a surge towards the $2,500 level.
However, should Ethereum encounter difficulty in surpassing the $2,320 resistance, a downside correction may ensue. Initial support on the downside is identified near the $2,265 level, followed by key support at $2,250 and the aforementioned bullish trend line. The latter coincides with the 50% Fibonacci retracement level of the recent upward move.
In the event of a more pronounced decline, Ethereum’s primary support lies around $2,200, corresponding to the 100-hourly Simple Moving Average. A breach below $2,200 raises the possibility of an extended decline, with the key support level at $2,120. Falling below this level could expose Ethereum to a potential move towards the $2,080 range in the near term.