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Ethereum (ETH) Could Rally If This Resistance Gives Way

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Aayush Jindal

Key Highlights

  • Ethereum started a recovery wave from the $2,800 zone.
  • ETH price is facing resistance near a key bearish trend line at $3,400 on the daily chart.
  • Bitcoin price is struggling to gain pace for a move above the $67,500 resistance.
  • Gold price found support at $2,290 and started a consolidation phase.

Ethereum Technical Analysis

Ethereum found strong bids near the $2,800 zone. ETH price started a decent upward move above the $3,000 resistance and recovered some losses, like Bitcoin.

Looking at the daily chart, the price climbed above the $3,150 resistance. There was a spike above the 50% Fib retracement level downward move from the $3,724 swing high to the $2,807 low.

The price is now stable above the 100-day simple moving average (red) and the 200-day simple moving average (green). However, it is facing resistance near a key bearish trend line at $3,400 on the daily chart.

The trend line is close to the 61.8% Fib retracement level downward move from the $3,724 swing high to the $2,807 low. A daily close above the $3,400 resistance zone could start a steady increase. In the stated case, the price may perhaps rise toward the $3,725 level. The next stop for the bulls may perhaps be near the $4,000 level.

If not, the price might start another decline and test the $3,120 support level. The next major support is near $3,025, below which the price could slide toward $2,800.

Looking at gold prices, the bulls were active near the $2,390 and the bulls might now aim for a fresh increase in the near term.

Economic Releases

  • US Gross Domestic Product Q1 2024 (Preliminary) – Forecast 2.5% versus previous 3.4%.
  • US Initial Jobless Claims - Forecast 214K, versus 212K previous.
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