Ethereum price has started a rebound above the $2,350 resistance zone. ETH could gain bullish momentum if it breaks through the $2,680 resistance zone.

• Ethereum has started a rebound above the USD 2,350 and USD 2,420 levels.
• The price is trading below $2,640 and the 100-hour elementary moving average.
• On the hourly chart of the ETH/USD pair (data via Kraken), a connecting uptrend line is forming with support at $2,440.
• If the pair breaks through the resistance zone at USD 2,680, the rate may rise steadily.

Ethereum price is heading up

Ethereum price has started a rebound after a nasty rally below the $2,000 level. ETH has risen above the $2,200 and $2,250 resistance levels, as has Bitcoin above $65,000.

There is a move above the 50% Fibonacci retracement level of the downtrend from the $2920 high to the $1910 low. Furthermore, there is also a connecting bullish trendline forming with the $2440 support on the ETH/USD hourly chart. However, bears are dynamic near the $2540 and $2550 levels.

Ethereum price is still trading below $2,650 and the 100-hour elementary moving average. On the other hand, the price is encountering obstacles near the $2,540 level and the 61.8% Fibonacci retracement level of the downtrend from the $2,920 high to the $1,910 low.

The first major resistance is near the $2,680 level and the 100-hour elementary moving average. The next major obstacle is near the $2,720 level. A close above the $2,720 level could take Ether towards the $2,860 resistance. The next key resistance is near the $2,920 level. A break above the $2,920 resistance could take the price higher towards the $3,000 resistance zone in the near future.

Another ETH drop?

If Ethereum fails to break through the $2,540 resistance, it could begin another decline. Initial downside support is near the $2,440 and trendline zone. The first major support is near the $2,365 zone.

A clear move below the $2365 support could push the price towards $2250. Any further losses could send the price towards the $2120 support level in the near future. The next key support is at $2050.

Technical indicators

Hourly MACD – The MACD for the ETH/USD pair is gaining momentum in the growth zone.

Hourly RSI – The RSI indicator for the ETH/USD pair has already exceeded the level of 50.

Major Support Level – $2,365

Main resistance level – $2540