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Ethereum Breaks Out: Clear Path to Higher Resistance Levels in Sight

source-logo  cryptonewsland.com 29 May 2024 00:08, UTC
  • Ethereum is approaching $4,000 amidst speculation of reaching $4,500 before ETF trading begins.
  • Strong buying interest supports Ethereum’s bullish run, with significant support levels identified.
  • Ethereum’s recent breakout from consolidation indicates potential for further upward movement, targeting higher resistance levels.

Ethereum’s (ETH) recent price action has noted a definitive breakout from a period of consolidation, setting its sights on higher resistance levels.

Currently, ETH is on the verge of a potential rally toward a new yearly peak as its price inches closer to $4,000. Analysts have previously speculated that Ethereum could reach $4,500 ahead of the commencement of ETF trading. At present, Ethereum has managed to surpass the $3,800 mark, now trading around $3,906. This upward trend is supported by substantial trading volume, indicative of strong buying interest.

Significant support for Ethereum is observed at the 50-day EMA around $3,225 and the 100-day EMA at approximately $3,170. These levels have been crucial in sustaining Ethereum’s price movement. Despite the RSI being at 72, signaling that Ethereum is overbought and might be due for a pullback, the overall market sentiment remains positive.

The cryptocurrency’s recent price trajectory has seen a clear departure from previous consolidation phases, highlighting bullish targets at higher resistance levels. For Ethereum to continue its upward momentum and potentially reach $4,500, it needs to break through the psychological barrier at $4,000.

Should this level be breached, the next significant resistance is around $4,200, which could propel Ethereum closer to the anticipated $4,500 mark. However, maintaining momentum is crucial. On the downside, the levels to watch are $3,800 and $3,500, which must hold to preserve the bullish outlook.