Key Takeaways:
- Ethereum started a fresh increase above the $2,650 resistance zone.
- ETH/USD cleared a major bearish trend line with resistance at $2,780 on the daily chart.
- The price seems to be eyeing more gains above the $3,000 level in the near term.
Ethereum (ETH) gained pace after Bitcoin’s surge. The price is now trading above a major barrier at $2,800 and could soon surpass $3,000.
Ethereum Price Signals Bullish Breakout
In the past few days, Ethereum has increased slightly above the $2,650 resistance zone. After Trump’s win, Bitcoin rallied to a new all-time high above $76,000. This sparked positive moves in ETH, DOGE, SOL, and other cryptocurrencies.
The bulls took control and pushed the price above the 50% Fib retracement level of the downward move from the $3,566 swing high to the $2,099 low. More importantly, it cleared a major bearish trend line with resistance at $2,780 on the daily chart.
Ethereum is up over 15% and trading well above the 50-day simple moving average (blue). The price is now showing signs of strength above the $2,800 level.
The current price action suggests that the price is struggling to reach the $3,000 level and might witness a short-term correction. Immediate support is near the $2,820 level. The first major support sits near the $2,780 level and the same trend line.
A daily close below the $2,780 level might send ETH toward the $2,650 support. If the bulls fail to defend this support, ETH might even decline and retest the 50-day simple moving average (blue) at $2,540. The next major support is near the $2,440 level.
More Upsides Above $3,000 In ETH?
Conversely, Ethereum might remain stable above $2,800 or $2,780 and attempt a fresh increase. On the upside, the price could face resistance near the $2,950 level. The first major resistance sits near the $3,000 level or the 61.8% Fib retracement level of the downward move from the $3,566 swing high to the $2,099 low.
The next resistance is near the $3,220 level. A clear move above the $3,220 level could open the doors for a move toward the $3,560 level. If ETH bulls push the price above the $3,560 resistance, there could be another strong increase. The price could rise toward the $3,850 level in the stated case.
Overall, Ethereum price is showing signs of strength above the $2,800 level. If ETH settles above the $3,000 handle, there could be another 10%-15% increase in the near term.
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