Ethereum Shows Strength Above $2,650, Eyes $3,000

Ethereum’s price movement is showing promising signs as it maintains strength above $2,650. The second-largest cryptocurrency by market cap appears poised for a potential breakout, with technical indicators suggesting bullish momentum.

Current Market Position

ETH has established solid support above $2,620, trading confidently above the 100-hourly Simple Moving Average. A significant technical development shows the formation of a bullish pattern, with ETH breaking above a key contracting triangle at $2,700.

Technical Analysis Deep Dive

The price action reveals several bullish indicators:

• Strong support established at $2,500
• Break above $2,720 with increasing volume
• Testing of 50% Fibonacci retracement level
• MACD showing growing bullish momentum
• RSI positioned above 50, indicating healthy buying pressure

Key Price Levels to Watch

Traders should monitor these critical levels:

• Immediate resistance: $2,755
• Major resistance zones: $2,800, $2,820, and $2,880
• Key support levels: $2,700, $2,660, and $2,620
• Ultimate target: $3,000

Market Implications

A successful break above $2,820 could trigger a rapid ascent toward $2,880. This move might catalyze further gains, potentially pushing ETH toward the psychological $3,000 mark. The current pattern suggests accumulation at higher levels, indicating strong buyer confidence.

Risk Considerations

Despite the bullish outlook, traders should remain cautious. A failure to breach $2,755 could trigger a retracement. The market might test lower support levels at $2,660 or even $2,550 in such a scenario.

The overall market structure remains bullish as long as ETH maintains support above $2,500. The convergence of technical indicators suggests a high probability of upward movement in the coming sessions.

Tags: Ethereum, ETH price analysis, cryptocurrency trading, technical analysis, crypto markets

Source: https://www.newsbtc.com/analysis/eth/ethereum-price-strength-2755/