Ethereum remains below $3700, looking for support at $3550

Ethereum chart analysis

Ethereum’s price trajectory has been a rollercoaster ride lately, with fluctuations between key support and resistance levels prompting speculation among traders. Monday’s trading session brought a surge in bullish sentiment as Ethereum managed to breach the crucial $3500 barrier during the afternoon. The momentum continued to build, propelling the price upwards until it reached a peak of around $3660, where the resistance came into play. Subsequently, the price retraced, finding support at approximately $3580.

Tuesday saw a renewed bullish consolidation, culminating in Ethereum reaching a fresh weekly high near $3680. However, this peak proved to be a temporary pause as Ethereum initiated a bearish consolidation phase, dipping towards the $3545 support level. Despite testing this support, Ethereum managed to hold above, commencing a recovery phase the following morning.

Are we turning towards the $3500 level or going back above $3600?

Currently, Ethereum is facing resistance around the $3625 mark, coinciding with the EMA50 moving average. The price has struggled to break through this barrier, leading to a retreat back to the $3560 level. With the breach below the EMA50, there’s anticipation of a potential drop to new daily lows, with targets around $3525 and $3500.

A positive consolidation is needed for a bullish reversal, ideally pushing the price back towards $3625. Breaking above this resistance level could signal a shift in momentum, potentially paving the way for further gains. If successful, Ethereum could target higher levels such as $3650, $3675, or even retesting the weekly high at $3680.

In summary, Ethereum’s price action continues to oscillate between support and resistance levels, with traders closely monitoring key thresholds for signs of a sustained bullish or bearish trend.

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