At a Decisive Crossroads, Ethereum’s Price Hangs in the Balance – Will the Bulls of ETH Maintain Their Strength?

Key Takeaways:
Ethereum is currently maintaining its position above the primary uptrend support at $2,880.
On the daily chart, ETH/USD is facing obstacles near a significant bearish trend line at $3,250.
In order to initiate a fresh upward movement, the price must surpass $3,250 as well as the 50-day simple moving average (blue).


Ethereum ETF
NEW DELHI (CoinChapter.com) — Ethereum (ETH) is in a consolidation phase above $2,880. If the bulls fail to defend the support zone between $2,880 and $2,900, ETH could experience a major setback.
Ethereum Price Stuck In Range
In our previous analysis using the daily chart, we observed that Ethereum managed to stay above the crucial uptrend support at $2,880-$2,900. The bulls showed their presence near the 61.8% Fib retracement level of the upward movement from the $2,172 swing low to the $4,082 high. There was recently a short-term recovery above the $3,050 resistance zone.
However, ETH encountered resistance near the $3,200 zone, preventing a close above the 50-day simple moving average (blue). As a result, the price once again reacted negatively, similar to Bitcoin, and dropped below $3,000.


Ethereum price daily chart | Source: ETH/USD on TradingView.com
Currently, Ethereum bulls are putting up a fight near the same uptrend support at $2,880. The last three daily candles indicate that the bulls are struggling to push the price higher.
On the upside, immediate resistance is seen near the $3,060 level. The first major obstacle lies at around $3,200, along with the 50-day simple moving average (blue). Additionally, there is a significant bearish trend line with resistance at $3,250 on the daily chart.
This trend line aligns closely with the 50% Fib retracement level of the downward movement from the $3,731 swing high to the $2,848 low. To initiate a fresh upward movement, the price must successfully settle above the $3,250 resistance zone and the 50-day simple moving average.
In such a scenario, the price could experience a recovery and test the $3,400 resistance. The next major obstacle is visible near the $3,675 level. If the bulls manage to surpass the $3,675 resistance, the price could move higher towards $3,920. Breaking the $3,920 resistance could potentially lead to a revisit of the $4,080 resistance in the near future.
More Downsides?
On the contrary, if Ethereum fails to settle above $3,200 once again, it could extend its losses. Immediate support is found near the $2,920 level. The first major support still lies within the $2,880 zone.
A downside break and a daily close below $2,880 could push ETH towards the $2,620 support. Failure to protect the $2,620 support might result in a further drop and a test of the $2,200 support level in the coming days.
Overall, Ethereum is currently struggling below $3,200 and $3,250. If ETH fails to settle above $2,880, there could be significant bearish movements in the near term.