Ethereum (ETH) is currently showing signs of resilience despite a recent 3.84% drop in price, maintaining a level above $2,200. The market sentiment for Ethereum remains optimistic, suggesting a strong belief in its potential for growth among investors, even as short-term bearish signals are observed.
Over the past week, ETH has fluctuated between $2,300 and $2,400, and despite a 5.5% weekly decline, the market momentum is upward. With a market capitalization of $285 billion, Ethereum continues to hold its position as the largest altcoin.
ETH remains the focus of crypto investors and market analysts, especially following speculation about a potential SEC approval for an Ethereum-based ETF in the US by May. This speculation has led to significant attention and a consolidation phase for Ethereum, which could be a precursor to further price increases.
If Ethereum maintains its position above the ascending trend line from $2,200, it could attempt to break the $3,000 resistance level. Overcoming this barrier could lead to a push towards $4,000, with a potential to reach the $4,800 resistance level if the upward momentum continues.
In a bearish scenario, failure to surpass the $3,000 resistance or a drop below $2,200 could trigger a more significant decline, particularly if it closes below $1,900. The $3,000 and $1,900 levels are thus crucial for determining Ethereum’s short-term market trajectory. Technical indicators like the Moving Average Convergence Divergence (MACD) show a bullish trend, while the Relative Strength Index (RSI) suggests a bearish market, and the Chaikin Money Flow (CMF) indicates positive short-term pressure.