Ethereum Approaches Critical Level: Will $2,750 Hold?

Ethereum 's price shows a 3% increase early Monday despite a generally subdued cryptocurrency market, challenging the formidable resistance at $2,750. Investors are keen to know if this upward momentum could signal a broader market shift.

Currently, Ethereum's technical indicators present a mixed picture. As observed in the daily chart (ETH/ USDT ), both bullish and bearish scenarios appear equally plausible.

The price confronts significant horizontal resistance, with all major moving averages positioned above it. The 200-day Simple Moving Average (SMA) aligns with a critical $3,000 resistance point. Moreover, a descending trendline adds complexity, requiring substantial effort from bullish investors to reverse the prevalent downtrend.

By examining the weekly chart, Ethereum's prospects look somewhat optimistic for bulls. A recent retest of horizontal support at $2,150 is evidenced by a candle wick confirming this level. Crucially, the Stochastic RSI at the chart’s base suggests potential bullish momentum. Once the indicator lines cross above the 20.00 mark within the coming weeks, it could trigger significant upward movement.

The ETH/BTC pairing provides further insight. After initially appearing vulnerable to a breakdown against Bitcoin, Ethereum bulls have successfully regained ground within the descending channel, restoring price above key horizontal support lines.

However, substantial challenges remain, including surpassing the bull market's ascending trendline, major horizontal resistance, and exiting the descending channel. Achieving a higher high above 0.0057 BTC would be crucial in reversing the ongoing downtrend.

Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.