Ethereum has experienced a strong rebound in price, climbing back up to the $2,500 level. The cryptocurrency has gained over 10% and is currently consolidating near this zone.
Initially, Ethereum faced bearish momentum, dropping below the $2,500 support and even falling below $2,200. However, the bulls stepped in and prevented further decline as the price hit a low of $1,911.
Since then, Ethereum has embarked on a recovery wave, breaking above the $2,250 level. It surpassed the 50% Fib retracement level of the downward move from the $2,920 swing high to the $1,910 swing low. Additionally, a key bearish trend line with resistance at $2,400 was breached.
Despite these positive developments, Ethereum is still trading below the 100-hourly Simple Moving Average and the $2,650 level. The price now faces hurdles at around $2,550 and the 61.8% Fib retracement level. The first major resistance lies near $2,680, followed by $2,650. A close above $2,650 could propel Ethereum towards the $2,850 resistance, and potentially even the $3,000 resistance zone in the near future.
On the other hand, if Ethereum fails to break the $2,550 resistance, it may experience another decline. Initial support lies at around $2,365, with major support at the $2,250 zone. A clear move below $2,250 could push the price towards $2,050, and further losses may lead it to the $2,000 support level, with the next key support at $1,920.
In terms of technical indicators, the MACD for ETH/USD is gaining bullish momentum, while the RSI is now above the 50 zone.
Overall, Ethereum has shown impressive resilience with its recent rebound, but it remains to be seen whether it can overcome the resistance levels and continue climbing in the short term.