Ethereum price has started a modern rally from the support zone at $2,300. ETH is rising and may aim to move above the resistance at $2,550.

• Ethereum has started a decent rally above the $2,350 and $2,420 levels.
• The price is holding above $2,420 and the 100-hour basic moving average.
• A key bullish trendline is forming on the ETH/USD hourly chart with support at $2,435 (data fed via Kraken).
• The pair needs to overcome the resistance levels at $2,525 and $2,550 to continue its gains in the near future.

Ethereum price has a higher purpose

Ethereum price remained stable above the $2,300 level and began a modern rally. ETH was able to overcome the resistance at $2,350 and move into a positive zone like Bitcoin.

The price was able to climb above the $2,400 resistance zone. There was a move above the 50% Fib retracement level of the bearish wave, from a high of $2,656 to a low of $2,310. Ultimately, the bulls pushed the price above the resistance at $2,500.

Ethereum price is currently trading above $2,450 and the 100-hour basic moving average. A key bullish trendline is also forming on the ETH/USD hourly chart with support at $2,435.

On the downside, the price seems to be facing headwinds near the $2,525 level. It is close to the 61.8% Fib retracement level of the bearish wave from the high of $2,656 to the low of $2,310. A clear move above the resistance at $2,525 could push the price towards the resistance at $2,550.

An upward break above the resistance at $2,550 could trigger further gains in the coming sessions. In the above case, Ether may rise towards the resistance zone at $2,650 in the near future. The next hurdle is near the $2,720 level, or $2,740.

Another ETH drop?

If Ethereum fails to break through the resistance at $2,525, another decline could begin. Initial downside support is near the $2,450 level. The first major support is located near the $2,420 zone and the trend line.

A clear move below the support at $2,420 could push the price towards $2,350. Any further losses could push the price towards the $2,320 support level in the near future. The next key support is at $2,250.

Technical indicators

Hourly MACD – MACD for ETH/USD is gaining momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is currently above the 50 zone.

Main support level – USD 2,420

Major resistance level – $2,525