Big Picture: Ethereum has been trading inside a 10% range for the last 30 trading sessions, ranging from 2400 on the upside to 2130 on the downside. Both ends of the range have done an excellent job of defending their important levels. Meanwhile, bulls want strength over the 2400 mark to complete the bullish breakthrough, while sellers seek a price breach below 2130 to continue the corrective move.
On the Upside Ethereum’s initial resistance remains 2255 to 2260. Above these resistance levels, the next resistance levels are at 2300, followed by 2320 to 2330. As Ethereum tests the upper resistances, it is likely to see some intraday profit-taking. Meanwhile, the main obstacle is the level range of 2380 to 2400. Ethereum’s sustained holding above 2400 will be critical in recovering its bullish momentum and propelling it to higher peaks.
On the Downside the primary support level for the session is 2210. Ethereum has the daily-based EMA-50 level slightly below this support level. Ethereum retested this dynamic level for the first time since October 22nd. The additional protections are being confirmed now that the price has mean-reverted to the dynamic supports. However, maintaining these dynamic levels is critical; otherwise, a corrective phase could begin, dragging price lower before the next positive momentum. The breakout supports between 2150 to 2130 are next important supports below 2210.