Ethereum is still struggling to overcome a critical resistance level despite recovering nicely in the past months. The price will remain trapped in a range until it finds a breakout.
Since Ethereum found a local bottom at $2,111 two months ago, it has recovered notably and shown signs of reversal. Following a higher low pattern on the daily chart, it has created supports above this price level.
However, the pivot $2,810 level has become a critical resistance for the second largest crypto by market cap as it prevented daily bullish actions.
The crypto trading landscape has changed a little since last week as the price moved out of a five-day consolidation phase to tap $2,768 a few hours ago. It briefly lost buzz and traded at $2,716.
While the price is captured in a tight range, accumulating for a major shift, it may break out of this critical resistance as soon as positive action resumes. The next trading range to keep in mind would be $3,000.
But looking at the daily price actions, ETH is a bit weak at the time of writing. If the price further drops, it may pull back into the $2,500 range for support before climbing back. Ethereum may signal a short-term buy with the latest bullish pattern, but the price is still trapped in a range.
ETH’s Key Level To Watch
Source: Tradingview
The critical $2,810 resistance has been a tough obstacle level for the bulls. If they overcome it, $3,080 would be the next area of interest with a potential surge to $3,400 and maybe $3,563, tested as August’s high.
In case of a pullback, the $2,525 level could produce support. Failure to bounce off this level may result in a rollback to the monthly $2,310 low. Below it lies $2,111.
Key Resistance Levels: $2,810, $3,080, $3,400
Key Support Levels: $2,525, $2,310, $2,111
Spot Price: $2,531
Trend: Bullish
Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
Follow us on Twitter @nulltxnews to stay updated with the latest Crypto, NFT, AI, Cybersecurity, Distributed Computing, and Metaverse news!
Image Source: baon/123RF // Image Effects by Colorcinch