Ethereum eyes a recovery as it holds strong around the 200-day support
Ethereum price has retested and found support around its 200-day Exponential Moving Average (EMA) at around $2,441 since Sunday and hovered around it the next two days. At the time of writing on Wednesday, it continues at around $2,500.
If the 200-day EMA remains strong and gains momentum, ETH could extend the rally to retest its key psychological level at $3,000.
The RSI on the daily chart reads 69, pointing upward toward its overbought levels of 70, indicating strong bullish momentum. However, caution is warranted due to overbought signals suggesting potential for a pullback. Another possibility is that the RSI remains above its overbought level of 70 and continues its upward trend.
On the other hand, if ETH closes below its 200-day EMA at $2,441, it could extend the decline to retest its key psychological level at $2,000.
