TLDR
Ethereum price surged over 5%, breaking above $2,500 and $2,550 resistance levels
A bullish trend line is forming with support near $2,520 on the hourly chart
Key resistance levels are at $2,650 and $2,720
Initial support on downside is near $2,600, with major support at $2,520
Potential for further gains if ETH clears $2,650 resistance
Ethereum, the second-largest cryptocurrency by market capitalization, has seen a significant price increase in recent hours, surging over 5% and breaking through key resistance levels.
The price movement has caught the attention of traders and investors alike, as it outpaces gains seen in Bitcoin during the same period.
The rally began as Ethereum formed a stable base above the $2,400 mark, which served as a springboard for the upward movement.
Bulls successfully pushed the price past the $2,450 and $2,500 resistance levels, signaling strong buying pressure. This momentum carried Ethereum to test the $2,600 threshold, with the price reaching a local high of $2,650.
As of the latest data, Ethereum is trading comfortably above both the $2,550 level and the 100-hourly Simple Moving Average, indicating sustained bullish sentiment in the short term.
Technical analysis reveals the formation of a key bullish trend line with support near $2,520 on the hourly chart of ETH/USD, suggesting that buyers are in control of the market for now.
The current price action shows Ethereum consolidating its recent gains, with the price holding steady above the 23.6% Fibonacci retracement level of the upward wave from the $2,442 swing low to the $2,650 high.
This consolidation may be seen as a period of rest before potentially making another push higher.
Looking at the immediate future, Ethereum faces its next significant hurdle near the $2,640 to $2,650 range. A decisive break above this resistance zone could open the path for further gains, with the next target potentially being the $2,720 level.
Should the bullish momentum continue and push the price beyond $2,720, analysts suggest that Ethereum could make a run towards the psychologically important $2,800 mark, with some even eyeing the $2,880 to $2,920 range as possible targets in the near term.
