Ethereum price is expected to break higher above the $2,900 level. ETH needs to stabilize above $2,900 and $2,940 to continue rising in the near future.

• Ethereum is forming a base above the support zone at $2,860.
• The price is trading below $2,950 and the 100-hour basic moving average.
• A key bearish trend line is forming on the hourly chart of ETH/USD (data via Kraken) with resistance at $2,905.
• The pair could start a decent rally if there is a close above the $2,940 and $2,950 resistance levels.

Ethereum price is eyeing a fresh surge

Ethereum’s price struggled to stabilize above the $3,000 level and began another decline, much like Bitcoin. ETH was trading below the $2,950 and $2,940 support levels.

The price even dropped below $2,900. However, bulls were busy again near the $2,860 support zone. The lowest level was $2,860 and the price is currently consolidating losses. The price is slowly moving above the level of $2,885.

Ethereum is currently trading below $2,950 and the 100-hour basic moving average. Immediate resistance is near the $2,900 level. A key bearish trend line is also forming on the ETH/USD hourly chart with resistance at $2,905. The trendline is close to the 23.6% Fib retracement level formed during the recent decline from a high of $2,992 to a low of $2,860.

An upside break above the trend line could push price towards the $2,925 level and the 100-hour basic moving average. The first major resistance is located near the $2,940 level or the 61.8% Fib retracement level during the recent decline from a high of $2,992 to a low of $2,860.

Source: ETHUSD on TradingView.com

The next key resistance is at $2,950, above which the price may gain strength and move towards the $3,000 level. If there is a clear move above the $3,000 level, the price could move higher and test the $3,050 resistance. Any further gains could push Ether towards the $3,150 resistance zone.

Another ETH drop?

If Ethereum fails to break through the resistance at $2,925, another decline could begin. Initial downside support is near the $2,880 level.

The first major support is near the $2,860 zone. The next support is near the $2,810 level. A clear move below the support at $2,810 could push the price towards $2,740. Larger losses could push the price towards the $2,650 level in the near future.

Technical indicators

Hourly MACD – MACD for ETH/USD is losing momentum in the bear zone.

Hourly RSI – The RSI for ETH/USD is currently below the 50 level.

Main support level – USD 2,860

Major resistance level – $2,925