Telegram Live Chat

Ethereum Bulls Hold Key Support — Eyes Set on $4,350 Upside - CoinsText
Home Market AnalysisEthereum Bulls Hold Key Support — Eyes Set on $4,350 Upside

Ethereum Bulls Hold Key Support — Eyes Set on $4,350 Upside

by admin
Ethereum Bulls Hold Key Support — Eyes Set on $4,350 Upside

Ethereum (ETH) has started a notable recovery after a recent period of consolidation, showing strength above the $4,050 level. The cryptocurrency is trading above the 100-hourly Simple Moving Average (SMA), signaling that buyers are gradually regaining control. Analysts suggest that if ETH maintains this momentum, it could target higher resistance levels, potentially reaching $4,350 and beyond in the near term.

This rebound comes after Ethereum formed a strong base near $3,950, which acted as a key support zone. The price cleared several crucial levels, including the 50% Fibonacci retracement from the recent swing high at $4,290 to the low at $3,890. This technical recovery highlights renewed interest from buyers and indicates a potential resumption of the broader uptrend.

Key Support Holds at $3,980

On the hourly chart, a bullish trend line has formed with support around $3,980. This level is critical for Ethereum, as it provides a structural foundation for further gains. Traders are watching this zone closely, noting that holding above $3,980 could pave the way for a push toward $4,200.

The 100-hourly SMA, currently positioned around $4,050, adds another layer of support. Sustained trading above this moving average is seen as a positive signal, suggesting that ETH may have found a short-term bottom and is ready to reclaim higher levels.

Immediate Resistance Levels to Watch

Ethereum now faces immediate resistance near $4,140, followed closely by the $4,200 zone. The 76.4% Fibonacci retracement level of the recent decline from $4,290 to $3,890 aligns with these areas, making them crucial for assessing bullish momentum.

A successful break above $4,200 could open the door for a test of the $4,290 resistance. If buyers remain in control, ETH could potentially push higher toward $4,380, and eventually target the $4,450–$4,500 range. Market participants are closely monitoring trading volumes, as increased liquidity could help sustain the upward movement.

Downside Risks and Support Levels

While the short-term outlook appears bullish, Ethereum is not free from downside risks. If ETH fails to clear the $4,200 resistance zone, it could face renewed selling pressure. Initial support lies at the $4,000 level, which coincides with previous consolidation points.

A clear breach below the $3,880 support could trigger further declines toward $3,820, with a potential extension down to $3,750. Analysts note that the next critical support level is $3,640. Failure to hold these zones may indicate a temporary retracement before Ethereum resumes its broader uptrend.

Technical Indicators Suggest Mixed Sentiment

Technical indicators provide a mixed outlook for Ethereum. The price trading above the 100-hourly SMA and holding the bullish trend line is a positive signal for buyers. However, overhead resistance at $4,140–$4,200 remains a challenge.

The Fibonacci retracement levels highlight key decision points, suggesting that a breakout above $4,200 could accelerate bullish momentum. Conversely, failure to maintain support near $3,980–$4,000 could allow bears to regain control temporarily. Traders are advised to watch both support and resistance levels closely for indications of the next market direction.

Market Sentiment and Outlook

Market sentiment for Ethereum has improved slightly after recent weakness in the broader crypto market. Investors appear cautiously optimistic as ETH stabilizes above critical support. The recovery aligns with Bitcoin’s gradual gains, suggesting that top cryptocurrencies may be entering a phase of consolidation before another upward push.

Analysts believe that if Ethereum sustains its current momentum, it could attract new buyers looking to capitalize on short-term gains. Institutional and retail traders alike are expected to monitor key resistance levels closely to confirm the next leg of the rally.

Conclusion

Ethereum is showing renewed strength above $4,050, with the $3,980 trend line and the 100-hourly SMA providing critical support. Immediate resistance at $4,140–$4,200 will determine whether ETH can resume its upward trajectory toward $4,350 and beyond.

Traders should remain alert to potential downside risks, particularly if the $4,000 support fails. With technical indicators signaling both opportunities and caution, Ethereum’s near-term price action will likely hinge on its ability to maintain support and overcome key resistance levels.


Post Views: 56

Related Posts

Leave a Comment

bitcoin
Bitcoin (BTC) $ 108,304.02
ethereum
Ethereum (ETH) $ 3,832.22
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 1,083.72
xrp
XRP (XRP) $ 2.38
solana
Solana (SOL) $ 182.18