Ethereum has started a notable recovery wave, climbing above $2,850 as bullish momentum attempts to regain control in the crypto market. Trading data from Kraken indicates that ETH is now testing key resistance levels near $3,000, a psychological barrier that could dictate the next major price movement. The recent upswing follows a period of consolidation above $2,650, highlighting renewed market confidence but also caution among traders as selling pressure remains evident near critical levels.
Technical indicators show Ethereum trading above the 100-hourly Simple Moving Average, suggesting short-term bullish momentum. However, the MACD on the hourly chart is losing steam in the bullish zone, while the RSI sits just above the 50 mark, signaling that momentum may be slowing. The price has successfully surpassed the 50% Fibonacci retracement of its previous downward move from the $3,058 swing high to the $2,620 low, but bears remain active around the $2,970 to $3,000 zone.
If ETH manages a clear breakout above $3,000, it could pave the way for further gains toward $3,050 and potentially test $3,120 to $3,250 in the coming days. Conversely, failure to overcome the $2,950 resistance may lead to a fresh decline, with immediate support levels at $2,840 and $2,780. A sustained drop below these zones could push Ethereum back toward $2,740 and $2,650, levels that traders will closely monitor for potential buying opportunities.
From an expert perspective, this price action reflects Ethereum’s ongoing volatility amid broader crypto market fluctuations. Investors should consider both short-term technical patterns and macro-level factors, such as upcoming protocol updates and network activity, which could influence ETH’s trajectory. The current recovery attempts demonstrate market resilience, but traders are advised to exercise caution as the next decisive move could shape sentiment for the weeks ahead.
Looking forward, Ethereum’s performance around the $3,000 threshold will be pivotal. A successful breakout could reinforce bullish trends and attract renewed investor interest, while a reversal might signal a deeper corrective phase. For market participants, monitoring resistance and support zones alongside technical indicators remains essential to navigating this critical juncture in Ethereum’s price evolution.
