Following the establishment of a support level at $2,320, Ethereum price has embarked on a fresh upward trend.
The digital asset is currently demonstrating an increasing valuation and may target a breakout above the significant resistance area of $2,650.
A period of decent appreciation for Ethereum began as it surpassed the $2,450 and $2,500 price points.
The cryptocurrency is now trading above the $2,500 mark and holds a position over its 100-hour Simple Moving Average.
A key technical event was the successful breach of a connecting bearish trend line that had posed resistance at $2,530 on the hourly ETH/USD chart, according to data from Kraken.
Further strengthening of its price could occur if Ethereum decisively clears the $2,650 resistance shortly.
Ethereum’s Price Demonstrates Renewed Upward Traction
In a move distinct from Bitcoin’s recent activity, Ethereum’s price underwent a downward correction, dipping below the $2,450 level.
ETH traded beneath the $2,400 and $2,350 support zones. Despite this, buyer interest remained strong near the $2,300 area.
A price floor was established at $2,308, from which a new upward movement commenced.
This resurgence saw Ethereum’s value climb above both the $2,450 and $2,500 thresholds.
The price also exceeded the 61.8% Fibonacci retracement level of the preceding downward move, which extended from a swing high of $2,583 to the low of $2,308.
Looking at potential upward targets, Ethereum could encounter resistance near the $2,580 level.
The next important resistance lies near $2,600, with the primary major resistance concentrated around $2,650.
A clear move and consolidation above $2,650 might propel the price toward the $2,720 resistance.
Should an upside break occur above $2,720, it could signal further gains in the subsequent trading sessions.
In this scenario, Ether might then target the $2,780 resistance zone or potentially even $2,840 in the short term.
Possibility of a Renewed Decline in ETH Value
Conversely, if Ethereum is unsuccessful in clearing the $2,650 resistance, it could initiate a fresh downward price movement.
Initial support on the downside is anticipated near the $2,520 level. The $2,450 zone is the first major area of support.
A decisive breach below the $2,450 support could exert additional selling pressure, potentially pushing the price toward the $2,420 support.
Any further losses might lead the price to test the $2,320 support level in the near term.
The next significant support level beyond that is located at $2,250.
Also Read: Ethereum SURGE: A POWERFUL Shift in Crypto’s Reign?
