Ethereum is one of the best performing digital assets in the cryptocurrency market after retreating from all-time highs of $ 2,550. However, before embarking on a recovery, the smart contract token twice tested support at $ 2,000.
The cryptocurrency has broken several resistance levels, including 100 Simple Moving Averages (SMA) at $ 2200, 50 SMA and $ 2400. At the time of writing, ETH is trading at $ 2440 and bulls are now struggling to break above $ 2500.
Potential decline is protected by 50 SMA, allowing bulls to focus on higher price levels. The bullish outlook is underpinned by the Moving Average Convergence Divergence (MACD). This confirmation appeared after the MACD line crossed the signal line, in addition, the indicator returned to the positive area.
The Relative Strength Index (RSI) on the four-hour chart confirms that the trend is in the hands of the bulls. This indicator tracks the movement of an asset and measures its strength. As it closes the gap in the overbought area, the upward trend in Ethereum becomes evident.
A break above $ 2,500 will be a strong signal for more buyers to join the market. If enough buying pressure is created on ETH, the price will begin the next chapter of its movement to new all-time highs around $ 3000.
It is worth noting that a close below $ 2,500 will result in increased upside pressure. Above the 50 SMA must be maintained, otherwise Ethereum could fall by retesting support at $ 2200 and $ 2000.
Ethereum daily levels
Spot Rate: $ 2475
Support: 50 SMA, $ 2200 and $ 2000
Resistance: $ 2500 and $ 2550