Ethereum has shown a steady rebound after recent market turbulence, with prices climbing above the $3,350 and $3,400 levels. Trading data from Kraken indicates that ETH has managed to surpass a bearish trend line on the hourly chart, signaling renewed bullish momentum. Currently, Ethereum is trading above $3,500 and the 100-hourly Simple Moving Average, highlighting short-term strength in the market.
The upward move has seen Ethereum break past the 50% Fibonacci retracement level of its recent downward swing from $3,920 to $3,058, with a price spike reaching above $3,620. This recovery demonstrates that buyers are stepping in at key support levels, potentially setting the stage for further gains. Traders are now eyeing the $3,650 resistance, with the next significant barrier near $3,720, coinciding with the 76.4% Fibonacci retracement. A clear breach above $3,720 could open the path toward $3,750 and even $3,820, signaling a possible continuation of the bullish trend.
However, Ethereum is not without risk. Failure to clear the $3,650 resistance may trigger a pullback, with immediate support near $3,580 and major support at $3,500. A deeper decline could test the $3,450 zone and potentially revisit $3,350 or lower. Technical indicators provide a mixed but generally optimistic outlook. The hourly MACD shows growing bullish momentum, while the RSI is comfortably above the 50 mark, suggesting continued upward potential.
From an expert perspective, Ethereum’s current rebound is significant for both traders and decentralized finance participants. It highlights the resilience of the network and the continued interest from investors even after a sharp selloff. The ability to hold key support levels and challenge major resistance points will be crucial in determining whether ETH can resume its broader uptrend toward previous highs.
Looking ahead, Ethereum’s performance over the next few sessions will likely hinge on market sentiment and volume around the $3,720 resistance. A successful break could pave the way for renewed optimism in the crypto markets, while failure may result in consolidation or a minor correction. For investors and analysts alike, these movements provide critical insights into the short-term trajectory of one of the most important digital assets in the blockchain ecosystem.
