Ethereum price recovered above $2,850 and now tests critical resistance near $3,000, with technical indicators pointing to a decisive moment that could either propel the cryptocurrency toward $3,250 or trigger a pullback to support levels below $2,800.
Key Facts:
- Ethereum climbed above $2,850 and the 100-hour Simple Moving Average after recovering from $2,650 support
- A bearish trend line forming at $2,970 creates resistance, with the major $3,000 level representing the next critical test
- Price could decline toward $2,780 or lower if it fails to hold above the $2,840 support zone
What Happened: Recovery Meets Resistance
Ethereum staged a recovery from support above $2,650, advancing through the $2,740, $2,800, and $2,850 levels in recent trading. The cryptocurrency managed to surpass the 50% Fibonacci retracement level of its downward move from the $3,058 swing high to the $2,620 low, according to Kraken data.
The price now trades above both $2,850 and the 100-hour Simple Moving Average.
A bearish trend line has formed with resistance at $2,970 on the hourly chart.
If Ethereum attempts another upward push, it faces resistance near $2,950 and the 76.4% Fibonacci retracement level from the same decline.
The next significant barrier sits at $2,970, followed by the major $3,000 resistance level.
A clear break above $3,000 could send Ethereum toward $3,050 resistance. Further gains beyond that threshold might open the path to $3,120 or even $3,250 in the near term. However, bears remain active below the $3,000 zone, creating uncertainty about the recovery's sustainability.
Why It Matters: Technical Crossroads
The current price action represents a critical juncture for Ethereum's trajectory. Failure to clear $2,950 resistance could trigger a fresh decline, with initial support at $2,840 serving as the first line of defense. The $2,780 zone marks the first major support level below current prices.
A break below $2,780 would likely push Ethereum toward $2,740 support, with additional losses potentially extending to the $2,650 region.
The next key support levels sit at $2,550 and $2,500. Technical indicators present a mixed picture, with the hourly MACD losing momentum in bullish territory while the RSI holds above 50.
The cryptocurrency's ability to maintain positions above $2,840 will determine whether the recovery continues or gives way to renewed selling pressure. Major support sits at $2,800, with major resistance at $2,950.
Also Read: Franklin Templeton Debuts XRP ETF On NYSE Arca As Institutional Interest Surges
Closing Thoughts
Ethereum's price structure suggests a decisive move is approaching as the cryptocurrency tests key resistance levels. The outcome of this $3,000 test will likely set the tone for near-term price action, with technical indicators pointing to heightened volatility ahead.
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