ETH pumps 5% today, watch this level below

ethereum's recent price movements highlight a period of consolidation following its rejection near the important $3.5K resistance level.

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 notable bullish strength, breaking above the $3,000 resistance zone, which is now a key support level. The cryptocurrency's positioning above the 100-day and 200-day moving averages further solidifies the positive trend. However, resistance near the $3,500 zone triggered a correction towards the 200-day MA around $3000.

This area is critical to maintaining ethereum's bullish outlook in the medium term.

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 to grow before encountering overbought conditions. The $3,500 area remains a key challenge, aligning with previous highs and important supply zones.

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 surge, the price encountered resistance at the $3.5k mark and has since entered a consolidation phase around the $3k level. This region aligns with the retest of a previously broken trend line, forming part of a flag pattern.

The RSI on this time frame reads 52, indicating neutral momentum. This suggests that ethereum may continue to consolidate in the near term or potentially prepare for another attempt to break the $3.5K resistance. Successfully surpassing this level could trigger renewed bullish momentum and higher price targets. However, losing the $3,000 support could indicate temporary weakening, warranting close monitoring for future price developments.

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