Ethereum Price Consolidates After Reaching New Highs

Correction in Ethereum Price

Following a surge to a new monthly high near $3,450, Ethereum has initiated a corrective phase. Currently, ETH is consolidating and encountering resistance around the $3,250 mark.

Support Levels Tested

After surpassing the $3,200 level, Ethereum continued its upward trajectory by breaking key resistance levels at $3,220 and $3,320. The price peaked at $3,445 before retracing slightly. During the dip, it fell below $3,320 and $3,250 to find support at $3,124.

Presently, Ethereum is trading above $3,120 and the 100-hourly Simple Moving Average. However, it faces challenges around $3,230, marked by a bearish trend line and the 50% Fib retracement level from the recent pullback.

Potential Scenarios

If Ethereum remains above $3,120, it could see further upside. Breaking through $3,250 resistance may propel the price towards $3,320 and even $3,450. Conversely, a failure to breach $3,250 might lead to downward pressure.

Initial support is seen at $3,150, followed by a crucial level at $3,120. Further declines could target $3,050 and eventually $3,000, with the next significant support at $2,880.

Technical Indicators

The MACD for ETH/USD indicates weakening bullish momentum, while the RSI has dipped below the 50 zone.

Key Points:

Major Support Level: $3,120

Major Resistance Level: $3,250