Ethereum Flexes Muscle, Outperforms Bitcoin Amid Market Momentum

Ethereum price started a fresh increase above the $3,020 zone. ETH is now consolidating gains and might correct lower toward the $3,040 zone.

Ethereum started a fresh increase above the $3,040 level.
The price is trading near $3,050 and the 100-hourly Simple Moving Average.
There was a break above a bearish trend line with resistance at $2,990 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could start a fresh increase if it remains supported above the $3,000 zone in the near term.

Ethereum Price Extends Gains Above $3,000

Ethereum price started a fresh increase above the $2,880 zone, outperforming Bitcoin. ETH price gained pace for a move above the $2,950 resistance zone and entered a positive zone.

The bulls even pumped the price above $3,050. There was a break above a bearish trend line with resistance at $2,990 on the hourly chart of ETH/USD. Finally, it tested the $3,150 zone. A high was formed at $3,152 and the price is now consolidating gains above the 23.6% Fib retracement level of the upward move from the $2,935 swing low to the $3,152 high.

Ethereum price is now trading above $3,000 and the 100-hourly Simple Moving Average. On the upside, the price could face resistance near the $3,120 level. The next key resistance is near the $3,150 level. The first major resistance is near the $3,220 level. A clear move above the $3,220 resistance might send the price toward the $3,300 resistance.

An upside break above the $3,300 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $3,420 resistance zone or even $3,450 in the near term.

Are Downsides Limited In ETH?

If Ethereum fails to clear the $3,150 resistance, it could start a downside correction. Initial support on the downside is near the $3,100 level. The first major support sits near the $3,040 zone.

A clear move below the $3,040 support might push the price toward the $3,000 support. Any more losses might send the price toward the $2,950 support level in the near term. The next key support sits at $2,880.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now above the 50 zone.

Major Support Level – $3,000

Major Resistance Level – $3,150

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