**Disclaimer**: The information provided in this article is for general informational purposes only and does not constitute financial advice. The cryptocurrency market, especially for Ethereum, is highly volatile. Investing in Ethereum or other cryptocurrencies involves significant risks, including the potential loss of your entire investment. Before making any investment decisions, it is crucial to conduct thorough research, understand the market, and consult a professional financial advisor. 📝
Ethereum has once again shown its strength in the cryptocurrency market by rising beyond the $1,580 mark. Currently, ETH is in a phase of stabilization, and there are indications that it might continue its upward journey and surpass the $1,665 level. The recent rally has seen Ethereum climb over both $1,580 and $1,620. However, at present, the price is hovering below $1,620 and the 100 - hour SMA (Simple Moving Average). On the hourly ETH/USD chart, a new negative trend line has emerged, with resistance pegged at $1,640. This setup makes the $1,665 barrier a crucial point for potential further upside. 💰📈
**The Bullish Run and Subsequent Retracement** 🌟📊
Similar to Bitcoin, Ethereum established a base above $1,500 and then embarked on an upward trajectory. Bulls were able to push the price past significant barriers such as $1,550 and $1,580, and even managed to drive it over $1,620. But after reaching a high of $1,668, the price experienced a negative reversal and dropped below the $1,650 support zone. In fact, it fell below the 23.6% Fibonacci retracement level of the $1,482 swing low to the $1,668 high. Now, with the price below $1,600 and the 100 - hour SMA, the market is at a crucial juncture. 🏃♂️
Looking at the upside, the price may encounter resistance at $1,640 first. The next resistance level is near $1,665, followed by the first substantial resistance at $1,680. If Ethereum can cleanly break over $1,680, it could potentially push the price above $1,720. Breaking the $1,720 barrier might then lead to even greater advances in the subsequent trading sessions. In an optimistic scenario, Ether could soar to $1,750 or even $1,800 in the short - term future. 🤑
**The Risk of a Downward Move** 📉💥
On the flip side, if Ethereum fails to break through the $1,640 mark, there's a real risk of a downward slide. The initial downward support is around $1,600. The first significant support level is at $1,575, which also coincides with the 50% Fibonacci retracement level of the upward run from the $1,482 swing low to the $1,668 high. A decisive break below $1,575 could bring the price down to $1,550. In a more bearish scenario, more losses could push the price toward $1,520, with the next support at $1,480. 📉
**Technical Indicators' Insights** 📊🔍
When examining the technical indicators, the hourly MACD (Moving Average Convergence Divergence) for ETH/USD is showing a loss of bullish momentum, which is a cause for some concern. However, the hourly RSI (Relative Strength Index) for ETH/USD is still above 50, indicating that the bulls still have some presence in the market. Key support level to watch is $1,575, while the major resistance level is $1,665. These levels will play a crucial role in determining whether Ethereum continues its upward journey or takes a downward turn. 📈
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