ETH is up 5% today, watch this level below

Ethereum’s recent price movements highlight a period of consolidation after its rejection near the major resistance level of $3.5 thousand.

This phase suggests a possible pullback to the $3,000 region, coinciding with the 200-day moving average, which could serve as a platform for the next bullish leg.

By Shayan

The daily chart

Ethereum has shown remarkable bullish strength, breaking above the $3,000 resistance zone, now a key support level. The cryptocurrency’s positioning above the 100- and 200-day moving averages further solidifies the positive trend. However, resistance near the $3.5K area led to a correction towards the 200-day MA around $3K.

This area is critical to maintaining Ethereum’s medium-term bullish outlook.

If the correction holds above this support, the price could resume its upward journey, targeting new resistance levels. With the RSI currently in balance, ETH retains room for growth before encountering overbought conditions. The $3.5K area remains a fundamental challenge, aligning with previous highs and important supply zones.

Source: TradingView The 4-hour chart

Ethereum’s bullish structure is intact in the 4-hour period, characterized by the price constantly surpassing its previous highs.

After its recent rally, the price found resistance at the $3.5K mark and has since entered a consolidation phase around the $3K level. This region aligns with the retracement of a previously broken trend line, forming part of a flag pattern.

The RSI in this timeframe reads 52, indicating neutral momentum. This suggests that Ethereum may continue to consolidate in the short term or potentially prepare for another attempt to break the $3.5K resistance. A successful break above this level could trigger further bullish momentum and higher price targets. However, the loss of the $3,000 support could indicate a temporary weakening, which warrants close monitoring of price developments.

Source: TradingView

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