ETH Testing Crucial Resistance Line, Is $3K Next?
The post ETH Testing Crucial Resistance Line, Is $3K Next? appeared on BitcoinEthereumNews.com. Ethereum is currently testing a decisive resistance region near the 200-day moving average at $2.5K, which has triggered a consolidation phase. While a deeper short-term correction remains possible due to prevailing supply and overbought conditions, market structure and momentum suggest a potential bullish breakout in the mid-term. Technical Analysis By ShayanMarkets The Daily Chart ETH’s recent bullish momentum has pushed the price toward the critical $2.5K resistance zone, which aligns with the 200-day moving average—a historically significant level of supply and market reaction. Upon testing this confluence of resistance, Ethereum has lost its upward momentum, entering a temporary consolidation phase. A decisive breakout above this psychological barrier and the 200-day MA would signal a shift in market sentiment, potentially marking the beginning of a broader bullish reversal. Such a move could propel the price toward the $3K threshold in the mid-term. However, the presence of a resting supply at this level, combined with the RSI indicator showing overbought conditions, increases the likelihood of a short-term corrective move. A continued consolidation within the $2.1K–$2.5K range remains plausible, offering the market time to reset before another breakout attempt. The 4-Hour Chart In the 4-hour timeframe, Ethereum’s rally has visibly stalled at the $2.5K mark, with signs of distribution and selling pressure becoming apparent. This consolidation has formed a bullish continuation wedge—an often reliable pattern suggesting a temporary pause before a potential breakout. If the wedge’s lower boundary successfully holds, Ethereum could soon initiate a bullish breakout, reclaiming momentum and potentially breaching the $2.5K resistance zone. Conversely, a breakdown below this pattern would indicate a deeper correction, likely driving the price toward the key support level of $2.1K. In summary, ETH remains in a state of consolidation under a major resistance level. Traders should closely monitor the wedge structure and the $2.1K–$2.5K range…
The post ETH Testing Crucial Resistance Line, Is $3K Next? appeared on BitcoinEthereumNews.com.
Ethereum is currently testing a decisive resistance region near the 200-day moving average at $2.5K, which has triggered a consolidation phase. While a deeper short-term correction remains possible due to prevailing supply and overbought conditions, market structure and momentum suggest a potential bullish breakout in the mid-term. Technical Analysis By ShayanMarkets The Daily Chart ETH’s recent bullish momentum has pushed the price toward the critical $2.5K resistance zone, which aligns with the 200-day moving average—a historically significant level of supply and market reaction. Upon testing this confluence of resistance, Ethereum has lost its upward momentum, entering a temporary consolidation phase. A decisive breakout above this psychological barrier and the 200-day MA would signal a shift in market sentiment, potentially marking the beginning of a broader bullish reversal. Such a move could propel the price toward the $3K threshold in the mid-term. However, the presence of a resting supply at this level, combined with the RSI indicator showing overbought conditions, increases the likelihood of a short-term corrective move. A continued consolidation within the $2.1K–$2.5K range remains plausible, offering the market time to reset before another breakout attempt. The 4-Hour Chart In the 4-hour timeframe, Ethereum’s rally has visibly stalled at the $2.5K mark, with signs of distribution and selling pressure becoming apparent. This consolidation has formed a bullish continuation wedge—an often reliable pattern suggesting a temporary pause before a potential breakout. If the wedge’s lower boundary successfully holds, Ethereum could soon initiate a bullish breakout, reclaiming momentum and potentially breaching the $2.5K resistance zone. Conversely, a breakdown below this pattern would indicate a deeper correction, likely driving the price toward the key support level of $2.1K. In summary, ETH remains in a state of consolidation under a major resistance level. Traders should closely monitor the wedge structure and the $2.1K–$2.5K range…
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