Ethereum Tests $3,120 as Bulls Eye Higher Resistance at $3,700

Ethereum was trading near the key resistance level of $3,120. The asset remained within a tight range and indicated no potential of a significant breakout. Traders followed the price actions because the wider trend was not strong. The short-term rally provided impetus, although it did not validate a long-term turnaround.

Ethereum remained within a broad correctional range of between $2,700 and $3,500. The lower resistance area was around $3,100, which was the price tested after a few days of sideways action. The 100-day and 200-day moving averages served as resistances around $3,500. These levels curtailed any attempts to rise and constrained any bullish pressure.

Source: TradingView

Ethereum Awaits Breakout Above the Critical $3,500 Resistance

Analysts said that a breakout of more than $3,500 would be needed in order to lessen the risk to the downside. Any rejection below this point can drive the price down to the mid-range. The zone of $2,700 was also a potential support level. Technical indicators also improved, but they did not indicate the complete shift in the trend.

At the time of writing, Ethereum is trading at $3,110. The price declined by 0.21% in the past 24 hours. The day trading volume dropped by 46.41% and is currently standing at $12.82 billion. Over the last week, the ETH coin price is up by 6.3%.

Source: CoinMarketCap

Analyst More Crypto Online highlighted that ETH has to remain above $3,049 to continue gaining momentum in the short term on an upward trend. He said the rejection of the 100% extension at level $3,143 was predictable. The analyst referred to the structure as a three-wave pullback. Any decline below $3,049 would indicate a larger retracement.

Also Read: BitMine Stock Surges 14% as Firm Stakes Another $259M in Ethereum

He noted that such a step would put Ethereum in a neutral short-term position. This would lower transparency among traders. The price movement in this region tends to be choppy. It is also more challenging to make short-term predictions.

Source: X

ETH Near Resistance as Market Awaits Clearer Direction

Crypto analyst Jonathan Carter mentioned that there was a confirmed breakout of a falling channel on the 12-hour chart. He indicated ETH was above the upper limit of the pattern. There was intense upward price pressure following completion of channels. He identified several upside targets as well.

His reported levels were $3,410 and $3,770. Higher targets sat at $4,250 and $4,680. According to Carter, these levels are technical projections. They also indicate possible reaction points to traders.

Source: X

Ethereum remained close to its resistance zone. Analysts observed the ability of the asset to sustain the levels of support and gain momentum. The market participants were awaiting the confirmation for a clearer direction.

Also Read: Ethereum Price Rallies Above $3,050 as $3,080 Emerges as Key Breakout Level