Ethereum’s $3,200 test: Can it withstand market pressure?

Ethereum has been in a period of wild fluctuations as its value has been struggling to recover, and it has now fallen below $3,100. A few days ago, ETH dropped to $3,074 and is currently making its last effort to get back on track after bouncing similarly to Bitcoin.

The cryptocurrency value fluctuated, surpassing the $3,125 resistance point in favor. It jumped out of the 23.6% Fibonacci retracement level reached when the price dropped from the peak of $3,292 to $3,074. Nevertheless, despite the breakout success above $3000, it needs help to advance as it approaches the resistance point. This has consequently prevented further discrepancies from increasing.

For now, Ethereum is worth $3,180, and the 100-hourly Simple Moving Average follows the downward trend in the charts. There is a prominent ascending channel whose support is at 3,140 on the hourly time frame for ETH/USD. Typically, efforts beyond this level may encounter resistance at $3,180, which corresponds to the 100-hourly Simple Moving Average.

Furthermore, the $3,200 resistance level represents a 61.8% Fibonacci retracement of the most recent decline, which presents a difficulty. Moreover, the forthcoming obstacle is valued at $3,240. Ethereum’s price has the potential to surpass this threshold and reach $3,280 if all other variables remain constant. A breakthrough through this obstacle may result in additional market forecasts ranging from $3,350 to $3,500. If the positive trend continues, Ethereum may move to the $3,550 zone as the next trading goal.

On the other hand, as per the ETH price forecast, the scenario for Ethereum today contains negative aspects. If it cannot go beyond the resistance level at $3,180, it may continue sliding downward. The base level of support is around $3,125, and more robust support is available at $3,075. The most critical support is a $3,030 mark. Unless there is a clear break below this level, there will be chances of an increase or a decrease. Ethereum may slash its price from $2,880 initially to even $2,750 if the downward trend becomes a temporary scenario.

Presently, technical indicators can be utilized to ascertain the state of the Ethereum market. The Hourly Moving Average Convergence Divergence (MACD) indicates that the adverse momentum zone is experiencing a decline. However, the RSI of ETH/USD is also less than 50, which means that the selling pressure in the market is very high.

As Ethereum progresses its movement through these technical levels, it attracts keen market attention. The $3,200 and $3,240 resistance levels, as well as the $3,030 area of support, will be of utmost importance in shaping Ethereum’s price trajectory over the next couple of days.

David Cox

David is a finance graduate and crypto enthusiast. He projects his expertise in subjects like crypto and Blockchain while writing for CryptoNewsZ. Being from Finance background, he efficiently writes Price Analysis. Apart from writing, he actively nurtures hobbies like sports and movies.

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