Ethereum Price Reaches $2,500 Again

London: 20 September 2024 (TraderMade): Ethereum (ETH) has made a decisive move, breaking past the $2,500 mark in a fresh upward surge. After overcoming key resistance at $2,420, ETH is consolidating gains, with market analysts wondering whether the momentum will continue or falter.

Key Takeaways

• Ethereum gains nearly 10%, approaching the $2,500 resistance level.
• Failure to break $2,480 could lead to a correction, with crucial support at $2,385.

Ethereum Surges Over 8%

Following a robust rally, Ethereum surged nearly 10%, reaching a high of $2,493. The cryptocurrency cleared resistance levels of $2,350 and $2,420, showing strength as it outperformed Bitcoin.

Currently trading around $2,440, Ethereum benefits from a bullish trend line forming near the $2,385 support level, further bolstered by the 100-hourly Simple Moving Average.

However, the critical resistance level stands at $2,480. If Ethereum breaks through, it could lead to further gains, pushing the price to $2,550. A clear break of this resistance could propel ETH toward the $2,650 mark, with potential upward targets of $2,750 and even $2,800.

Are Dips on the Horizon?

Despite the strong performance, Ethereum isn't immune to downside corrections. The cryptocurrency could dip if the price fails to surpass the $2,480 resistance. Initial support lies at $2,440, with significant support around the $2,385 zone, aligned with the current bullish trend line.

Should the price fall below $2,385, ETH could be pushed toward $2,320. Further losses might bring it down to $2,250 or the next significant support level at $2,200.

Technical Indicators Signal a Pause

While Ethereum's rally has been impressive, the technical indicators suggest potential caution. The hourly MACD is losing momentum in the bullish zone, and the RSI remains above 50, indicating that ETH could be due for a short-term correction before making another move.

Will Ethereum Hold the $2,500 Mark?

For now, Ethereum's performance hinges on breaking through the $2,480 and $2,500 resistance levels. If it succeeds, the market could witness new highs, with Ether potentially targeting $2,650. However, a failure to clear this resistance could trigger a correction, making the $2,385 support level a critical watch point for traders.

As the market keeps a close eye on Ethereum's next move, it remains to be seen whether this bullish trend will hold or if dips will create new buying opportunities for investors.