Ethereum Price Battles to Bounce Back: Is a Recovery Coming?

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Ethereum Price Faces Challenges Amidst Consolidation

Ethereum’s price has been experiencing difficulties in maintaining upward momentum beyond the $2,750 resistance level, resulting in a correction of its recent gains. Currently, ETH finds itself in a challenging position as it attempts to initiate a fresh upward movement above the $2,650 mark.

Ethereum initiated a downward correction, slipping below the $2,650 support level.

The price is currently trading beneath $2,650 and the 100-hourly Simple Moving Average.

A break occurred above a connecting bearish trend line, with resistance at $2,620, on the hourly chart of ETH/USD (data feed via Kraken).

The pair might embark on a fresh increase if it manages to surpass the $2,650 and $2,680 resistance levels.

Ethereum Price Begins Consolidation Phase

The Ethereum price commenced a downside correction from the $2,750 resistance level, similar to Bitcoin’s movement. ETH traded below the $2,700 and $2,650 support levels, entering a short-term bearish territory. The price reached as low as $2,605 and is currently in a phase of loss consolidation.

There was a minor uptick above the $2,620 level, closely aligning with the 23.6% Fib retracement level of the downward move from the $2,757 swing high to the $2,605 low. Additionally, a break occurred above a connecting bearish trend line, with resistance at $2,620, on the hourly chart of ETH/USD. Despite these developments, the price is struggling to gather bullish momentum.

Currently, Ethereum’s price is trading below the $2,650 level and the 100-hourly Simple Moving Average. On the upside, the price is encountering resistance around the $2,650 level. The first significant resistance is anticipated near the $2,700 level, which is in proximity to the 50% Fib retracement level of the downward move from the $2,757 swing high to the $2,605 low.

Potential for Upside Movement

A clear move above the $2,700 resistance could propel the price toward the $2,750 resistance. An upward break beyond the $2,750 resistance may pave the way for further gains in the sessions to come. In such a scenario, Ether could potentially ascend toward the $2,800 resistance zone in the near term. The subsequent hurdle is likely to be encountered near the $2,850 or $2,880 level.

Potential Further Downside Risks for ETH

Should Ethereum fail to overcome the $2,650 resistance, it might experience another decline. The initial support on the downside is anticipated near the $2,600 level, with the first major support positioned around the $2,550 zone.

A decisive move below the $2,550 support could drive the price toward the $2,500 mark. Any additional losses might lead the price to approach the $2,440 support level in the short term, with the next key support situated at $2,420.