Ethereum (ETH) Price Gains Bullish Momentum, Could Resume Its Increase If It Surpasses $3680

Ethereum (ETH) is gaining momentum above $3,500, beating Bitcoin. The price could resume its increase if it surpasses $3,680.

Cryptocurrency traders are closely watching the price of Ethereum (ETH), which is showing signs of bullish momentum after gaining ground above the $3,500 level.

According to the latest technical analysis, if ETH manages to surpass the $3,680 resistance level, it could pave the way for a further price increase.

After observing a decent rise above the $3,000 resistance level and the 50-day simple moving average (blue) in the previous analysis, ETH encountered sellers as it spiked toward the $3,500 resistance level.

The price action demonstrated a move above the 61.8% Fib retracement level of the key drop from the $3,975 swing high to the $2,099 low.

Following a consolidation phase above the $3,000 support zone, ETH finally initiated another increase above the $3,300 resistance zone. On the daily chart, the price breached a short-term contracting triangle with resistance at $3,300.

Ethereum is now trading significantly above the 50-day simple moving average (blue) and the 76.4% Fib retracement level of the key drop from the $3,975 swing high to the $2,099 low.

These positive signs indicate that ETH might continue to rise above $3,650. On the upside, the price could face resistance around the $3,680 level.

The first major resistance is encountered at $3,840. Next, the price could face resistance around the $4,000 level.

A clear move above this level may open the doors for a strong increase toward the $4,250 level. If ETH bulls push the price above this resistance, they could aim for a new all-time high or even $5,000.

On the downside, Ethereum might experience a downside correction. Immediate support to the downside is found around the $3,450 level.

The first major support is encountered at $3,300 or the same triangle’s trend line. A daily close below the $3,300 level may trigger bearish moves in ETH.

In such a scenario, the price could drop and test the $3,000 support. If the bulls fail to defend the $3,000 support, Ethereum might even decline and retest the 50-day simple moving average (blue) at $2,800.

Overall, the analysis suggests that Ethereum price is gaining bullish momentum above the $3,500 resistance zone. ETH may continue to rise toward the $4,000 resistance zone in the near term.