Ethereum has embarked on a fresh upward trajectory, currently trading above the $4,580 mark and eyeing the critical $4,640 resistance level. The digital asset has noticeably consolidated its position, remaining above the $4,600 threshold and the 100-hourly Simple Moving Average, suggesting a potential for continued bullish momentum.
On the hourly chart for ETH/USD, a short-term contracting triangle is taking shape, with resistance forming at $4,620. Positive sentiment in the market could drive Ethereum to further gains if it successfully stabilizes above both the $4,620 and $4,640 levels.
Following a recent recovery wave, Ethereum established a solid base above $4,420, mirroring movements seen in Bitcoin. The price successfully surpassed key thresholds of $4,500 and $4,520 and climbed beyond the $4,550 and $4,600 resistance levels. This upward maneuver indicates that bulls are active and striving to maintain upward momentum.
However, Ethereum is encountering challenges near the $4,640 level, as it approaches the 61.8% Fibonacci retracement level from a prior downward wave that peaked at $4,765 and dipped to as low as $4,416. Should it break through the immediate resistance, the path ahead may lead to the next key levels at $4,685 and $4,765. A decisive surge past $4,765 could possibly uplift the price to the $4,840 region, with further gains potentially aiming toward $4,880 or even $4,920.
Conversely, if Ethereum fails to breach the $4,640 resistance, a potential pullback could be on the horizon. Initial support is anticipated near the $4,580 level, with more significant support found around $4,535. Should the price dip below this critical level, it could pave the way for further declines toward $4,465 and even $4,420 in the near term, with the next major support identified at $4,350.
In terms of technical indicators, the MACD for ETH/USD shows waning momentum in the bullish zone, while the RSI remains above the neutral 50 mark, signaling that while the bulls are currently in control, caution persists in the face of resistance levels. As the market watches closely, Ethereum’s next moves could either solidify its upward trend or prompt a reconsideration of its current position.
