TLDR
Ethereum has shown a modest recovery from $3,160, moving above the $3,200 mark while facing resistance at $3,320
A bullish trend line is forming with support at $3,250 on the hourly chart
Key resistance levels are established at $3,320 and $3,450, with potential for movement to $3,500 if broken
Technical indicators suggest bearish momentum with MACD in the bearish zone and RSI below 50
If support at $3,220 breaks, ETH could test lower levels at $3,160 and potentially $3,050
Ethereum has initiated a recovery phase, moving above the $3,200 price level after finding support at $3,160. The second-largest cryptocurrency by market capitalization has shown resilience in its recent price action, though it continues to face challenges at higher levels.
The recovery movement began after ETH established a local bottom at $3,160, with buyers stepping in to push prices higher. This upward momentum carried the price through initial resistance levels at $3,200 and $3,220, marking the first steps in what appears to be a broader recovery attempt.
Technical analysis reveals the formation of a bullish trend line with support positioned at $3,250 on the hourly chart. This pattern suggests that buyers are attempting to establish a foundation for potential further gains, though the market remains cautious.
The price action has cleared the 23.6% Fibonacci retracement level, measured from the recent swing high of $3,743 to the low of $3,160. This technical milestone indicates some buying pressure, though the movement remains contained below stronger resistance levels.
Current market conditions show ETH trading below both the $3,320 price point and the 100-hour Simple Moving Average, suggesting that bears maintain some control over short-term price action. The presence of these technical barriers has created a challenging environment for immediate upward movement.
The $3,300 region has emerged as a notable resistance zone, with multiple attempts to break above this level being rejected. Traders are closely monitoring the $3,320 mark as a key level that could determine the next directional move.
A more substantial resistance level sits at $3,450, which coincides with the 50% Fibonacci retracement level of the recent downward movement. This price point represents a critical barrier that bulls need to overcome to establish a more convincing recovery narrative.
Ethereum Price on CoinGecko
Market participants note that a successful break above $3,450 could open the path toward the $3,500 psychological level. Such a move would likely attract additional buying interest and potentially drive prices toward higher targets at $3,650 or even $3,720.
However, the current price action suggests caution as ETH struggles to maintain momentum above key levels. The hourly MACD indicator shows momentum in the bearish zone, while the RSI remains below the 50 mark, indicating that buyers have yet to establish full control.
Support levels have formed at $3,250 and $3,220, with these areas serving as potential bounce points should the price experience another pullback. A breach below these levels could trigger a retest of the recent low at $3,160.
The market structure suggests that if selling pressure intensifies and breaks the $3,220 support, ETH could see further downside movement toward the $3,160 level. Extended weakness might bring the $3,050 support into focus.
Trading volumes have remained steady during this recovery phase, though they haven’t shown the kind of surge typically associated with strong directional moves. This suggests a degree of caution among market participants.
The hourly chart patterns indicate the formation of lower highs, suggesting that sellers become active at progressively lower levels. This creates a challenging environment for sustained upward momentum.
Recent price action shows consolidation between support at $3,220 and resistance at $3,320, forming a range that traders are watching for potential breakout signals. The direction of the eventual break from this range could determine the next medium-term trend.
The most recent data shows ETH trading near $3,280, as market participants await clear directional signals. Trading activity remains focused around the established support and resistance levels, with neither bulls nor bears gaining a decisive advantage.
The post Ethereum (ETH) Price: Recovery Finds Resistance at $3,320 Level appeared first on Blockonomi.